Mission Statement, Vision, & Core Values (2024) of Elastic N.V. (ESTC).

An Overview of Elastic N.V. (ESTC)

General Summary of Elastic N.V.

Elastic N.V. (NYSE: ESTC) is a company founded in 2012 that specializes in search-powered solutions. Its flagship product is the Elastic Stack, which includes Elasticsearch, Kibana, Beats, and Logstash. These tools enable users to perform full-text searches, analyze data, and visualize results in real-time. The company is headquartered in Mountain View, California, and operates globally.

As of 2024, Elastic N.V. reported total revenue of $347.4 million for the three months ended July 31, 2024, representing an increase of 18% compared to $293.8 million for the same period in 2023. Subscription revenue accounted for 93% of total revenue, amounting to $323.8 million, a growth of 20% year-over-year.

Company's Financial Performance in the Latest Financial Reports

In the latest financial results for the three months ended July 31, 2024, Elastic N.V. achieved a gross profit of $255.7 million, reflecting a gross margin of 74%. The company's operating expenses totaled $289.5 million, leading to an operating loss of $33.8 million. The net loss for the period was $49.2 million, with a net loss per share of $0.48.

The breakdown of revenue sources is as follows:

Elastic Cloud, a key growth driver, contributed 45% of total revenue, up from 41% in the prior year. The company reported operating cash flow of $52.8 million for the quarter and maintained cash, cash equivalents, and marketable securities totaling $1.147 billion as of July 31, 2024.

Introduction to Elastic N.V. as a Leader in the Industry

Elastic N.V. is recognized as a leader in the search and data analytics industry, driven by its innovative solutions and robust product offerings. The company serves over 1,370 customers with annual contract values exceeding $100,000, demonstrating substantial client engagement and retention. Elastic's strategic investments in research and development, which totaled $89.3 million for the latest quarter, reflect its commitment to enhancing product capabilities and expanding market reach.

As the demand for data-driven insights continues to rise, Elastic N.V. is well-positioned to capitalize on emerging opportunities within the industry. The company's focus on cloud-based solutions and customer-centric growth strategies underpins its competitive advantage in an evolving market landscape.

Mission Statement of Elastic N.V. (ESTC)

Company's Mission Statement Overview

Elastic N.V. (ESTC) is dedicated to empowering organizations through its innovative search and analytics solutions. The company's mission statement highlights its commitment to delivering high-quality products and services that enhance operational efficiency and drive customer success. By focusing on continuous improvement and customer engagement, Elastic aims to support businesses in navigating complex data environments.

Core Component 1: Empowering Organizations

At the heart of Elastic's mission is the goal of empowering organizations. This commitment is evident in their product offerings, such as Elastic Cloud, which grew by 30% year-over-year, contributing to 45% of total revenue for the three months ended July 31, 2024 . With over 21,200 customers utilizing their services, Elastic's mission aligns with their growth strategy, focusing on providing tools that enhance data visibility and operational insights.

Core Component 2: Delivering High-Quality Products

Elastic's mission emphasizes the importance of high-quality products. The company invests significantly in research and development, with expenses reaching $89.3 million for the three months ended July 31, 2024, reflecting an 11% increase from the previous year . This investment is aimed at enhancing the capabilities of their Elastic Stack, ensuring that customers receive cutting-edge technology that meets evolving market demands.

Core Component 3: Driving Customer Success

Driving customer success is a critical aspect of Elastic's mission. The company reported a net loss of $49.2 million for the three months ended July 31, 2024, driven by strategic investments in customer engagement and support . Furthermore, Elastic's focus on expansion is highlighted by the increase in customers with an annual contract value exceeding $100,000, which rose to over 1,370. This reflects a strong commitment to ensuring that customers can leverage Elastic's solutions effectively, thereby maximizing their return on investment.

Elastic N.V.’s mission statement is a reflection of its strategic priorities, emphasizing empowerment, quality, and customer success. With a dedicated approach to innovation and a strong focus on meeting customer needs, Elastic is well-positioned to continue its growth trajectory in the competitive data analytics landscape.

Vision Statement of Elastic N.V. (ESTC)

Vision Statement Overview

The vision statement of Elastic N.V. focuses on becoming the leading platform for search-powered solutions, leveraging advanced technologies to empower businesses and individuals. The company aims to enhance data exploration, making it accessible and actionable for users across various sectors.

Core Components of the Vision Statement

Elastic N.V. envisions a future where data exploration is seamless. The company aims to provide tools that allow users to easily search, analyze, and visualize data. This focus is reflected in the growth of Elastic Cloud, which contributed 45% of total revenue for the three months ended July 31, 2024, up from 41% in the previous year.

Elastic aims to be at the forefront of search technology, continuously innovating to improve the capabilities of its platform. The company’s research and development expenses were $89.3 million for the three months ended July 31, 2024, reflecting an 11% increase year-over-year.

To support its vision, Elastic is committed to enhancing user experience through intuitive product design and robust support. As of July 31, 2024, the company had approximately 21,200 customers, demonstrating significant growth from 20,500 in the previous year.

Elastic N.V. emphasizes its commitment to open source technologies, believing that open access fosters innovation and collaboration. The company’s subscription revenue, primarily from its open-source products, increased by 20%, reaching $323.8 million for the three months ended July 31, 2024.

Elastic aims to expand its global footprint, serving diverse markets and industries. As of July 31, 2024, Elastic operated in over 35 countries and employed 3,299 employees, underscoring its commitment to global engagement.

Strategic Initiatives Supporting the Vision

Elastic N.V. is undertaking several strategic initiatives to support its vision. This includes expanding its product offerings and enhancing its cloud infrastructure, which saw a significant increase in costs due to growth in cloud infrastructure investments, amounting to $10.6 million. Additionally, the company is focused on customer engagement and retention strategies to ensure a robust user base and ongoing revenue growth.

Core Values of Elastic N.V. (ESTC)

Core Value: Customer Commitment

Customer commitment is at the heart of Elastic N.V.'s operations. The company prioritizes understanding and meeting customer needs, ensuring that its products and services deliver real value.

As of July 31, 2024, Elastic N.V. had approximately 21,200 customers, up from 20,500 a year prior. The company reported that the number of customers with an annual contract value (ACV) exceeding $100,000 grew to over 1,370, compared to 1,190 in the previous year. This growth indicates a strong commitment to customer satisfaction and retention.

Core Value: Innovation

Innovation is a core value that drives Elastic N.V. to continually enhance its product offerings. The company invests significantly in research and development to foster creativity and technological advancement.

For the three months ended July 31, 2024, Elastic reported $89.3 million in research and development expenses, marking an increase of 11% from $80.7 million in the same period of the previous year. This investment reflects the company’s dedication to developing new solutions and improving existing ones.

Core Value: Integrity

Integrity is fundamental to Elastic N.V.'s business practices. The company emphasizes transparency and ethical behavior in all its interactions.

In its financial disclosures, Elastic N.V. demonstrated integrity by providing clear and comprehensive reports, such as a net loss of $49.2 million for the three months ending July 31, 2024, compared to a loss of $48.5 million in the same period a year earlier. The company also recorded a provision for income taxes of $20.1 million, reflecting its commitment to complying with tax regulations.

Core Value: Collaboration

Collaboration is essential for Elastic N.V. to achieve its goals. The company fosters a culture of teamwork among its global workforce, which spans over 35 countries.

As of July 31, 2024, Elastic N.V. employed 3,299 individuals, highlighting its commitment to building a diverse and collaborative environment. The company’s collaborative efforts are further exemplified by its partnerships that extend its market reach and enhance product awareness globally.

Core Value: Excellence

Excellence is a guiding principle for Elastic N.V. as it strives to deliver high-quality products and services. The company continually seeks to improve its operational efficiency and customer experience.

In the fiscal quarter ending July 31, 2024, Elastic achieved a total revenue of $347.4 million, an 18% increase compared to $293.8 million in the previous year. Subscription revenue alone grew by 20% to $323.8 million, reflecting the company’s focus on excellence in its product offerings.