Our website uses cookies. For this reason, Weingarten says, the company has enjoyed great success with both cloud-native organizations as well as big financial services companies, given the big disparity in offering quality. Covering topics in risk management, compliance, fraud, and information security. And it's kind of a game that we saw a film that we already saw and we see it growing over time. And our platform is a 100% cloud native. These as non-GAAP financial measures are not prepared in accordance with generally accepted accounting principles. SentinelOne, Inc. (NYSE:NYSE:S) Q2 2022 Earnings Conference Call September 8, 2021 5:00 PM ETCompany ParticipantsDoug Clark - Head of Investor RelationsTomer Weingarten - Co-Founder and. The initial price range was $26-to-$29 but this was lifted to $31-to-$32. 444 Castro StreetSuite 400Mountain View, California 94041, follow us on This is XDR. Thank you. This means distilling a solution that would be battle-tested through time, something that serves your customers for years to come. We look forward to talking to you again in the near future. Youre building it for the benefit of the world at the end of the day. "Those are the ones that we're working to complete.". One compromised printer can quickly become an adversary's home base for an attack. And if you can talk about your we spoke about product differentiation, but I want to talk about the value of automation. He. And that becomes very unique proposition. At the same time, we moved to a hybrid work environment. Looking further the older ransomware attacks, unfortunately this isn't new and it isn't going away and it's impossible to ignore. Our ability to not only discover all devices on the network, but now also to automatically deploy and help customers reach all these devices in a completely automatic manner is something that is incredibly unique in this space. From there, Weingarten hopes to introduce a high degree of automation around the data that's collected to improve security operations, not just on the endpoint or cloud but also around the network and email. (I have no financial interest in the securities mentioned in this post). To us prevention is the fundamental component of modern day cybersecurity. Now we'll discuss our costs and margins and then provide our guidance outlook. And following the call, an audio replay will be available on the Investor Relations section of our website. [PDF] [7d5kicaru8k0]. Where do you think you are in that opportunity? Our focus with Scalyr is obviously been on implementing the technology not on really pushing our go-to-market. Prior to Chegg, Mr. Bernhardt served in various positions at Palantir Technologies Inc., a data analytics software company, including most recently as its Vice President of Finance and an advisor, from May 2009 to August 2013. SentinelOne prides itself on having fended off cyberattacks most notably the recent SUNBURST one [the malware that tricked systems into uploading it as an update to the SolarWinds Orion software] for all of its customers, he told me. Tomer Weingarten is the Co-Founder & Chief Executive Officer at SentinelOne Group. Since then, its evolved into a complete platform with about 10 different modules that can address different issues within a corporate enterprise environment. These and others are global leaders with extensive enterprise relationships. The next question is from Patrick Colville with Deutsche Bank. Please disable your ad-blocker and refresh. We listen to our customers adding even more automation capabilities. You may proceed. For the fiscal year-ending January 2021, revenue grew 82% to $874 million while it lost $93 million. Just remember thats the mission, thats why we wake up, thats why we build what we build. SentinelOne. Tomer, you mentioned IoT cloud and data center seem really good uptake. And with an eye to the future, we just announced that we'll be opening an R&D facility in the Czech Republic to support our growing scale and global presence. "You're starting to see what the XDR strategy really looks like for some of these vendors," Weingarten says. At Coty Inc., Sue Nabi scored perhaps the biggest CEO pay deal ever granted in the world of beauty: $283 million. "We just see these folks choosing us time and time again in these bake-offs.". Thank you and thank you all for joining us today. Tomer just sort of talked about this just briefly in the last question, but I was wondering if you could just double click a bit on the mix of customers across the different singularity peers specifically core control and complete. These are the same targets that we shared during the IPO. Opinions expressed by Forbes Contributors are their own. And about pricing, is it is being cheaper than the next gen competition is the strategic strategic goal for you? Before SentinelOne, Tomer led product development and strategy for the Toluna Group as a VP of Products. Very helpful. Combined with ongoing benefits from our product innovation, improved brand awareness and continuing to scale our go-to-market, this collectively supports our triple-digit growth outlook. Biography of Tomer Weingarten. Time and time again, what we've seen for several years now is folks go with SentinelOne for really a unique combination of prevention alas coverage and support, automation, and then lastly as Tomer had mentioned efficacy. Before I turn into Nick and Dave, I want to say I'm excited about what we've achieved as the company. And once again, we do look at the peers they're focused on detection and response. Articles by Tomer Random thoughts. Read Tomer Weingarten's full executive profile here. Seeing this thing called Microsoft its a software company and how you are basically just building something from code. Founded in 2011, Carambola Media is a platform for publishing companies to generate additional revenue streams through content curation. Ms. Ghatak is a member of the board of advisors of Findem, Inc., a company that uses an artificial intelligence platform to assist companies in their employee hiring, since February 2021. Nothing is trivial. And we're already seeing demand for Auto Deploy, which helps secure a million dollar customer win in Q2, where we replaced legacy AV in one of our other major next gen competitors. Tomer Weingarten, SentinelOne co-founder and CEO, joins 'TechCheck' to discuss the current status of Microsoft's vulnerability to cyber attack, what measures need to be taken to deter a future. Tomer co-founded SentinelOne in 2013. Keenan Conder has served as Chief Legal Officer and Corporate Secretary since September 2021. "Our competitors have gone down the path of multiple platforms and multiple offerings, beaming data from their EDR into their XDR. And since this is our first earnings call, I'd like to give some background on our journey and how we got here. Cyber defense should be even more holistic. Career So all in all, we feel that mix is a healthy one and one that we would like to carry into the future. The solution for the IoT and unmanaged device challenges are ranger module. If this call is replayed or reviewed after today, the information presented during the call may not contain current or accurate information. And I think it's 99% displacing an incumbent. But outside of that, I mean, we are doing displacements here and there, very anecdotal but we have those. Thank you. We knew that we need ways to deal with attacks that are increasing in frequency and becoming more automated. The ability to give a full spectrum solution, a full spectrum platform that ranges from best of breed prevention, all the way to detection and response and remediation all of that in a complete uniform autonomous manner. Tomer Weingarten, SentinelOne CEO, joins 'TechCheck' to discuss how long the company's strong growth can continue, how quickly it can grow on the top line and how he would characterize the way. As we spend more, we grow more. National Institute of Standards and Technology (NIST), SentinelOne's Tomer Weingarten on Cloud, XDR and Analytics, Need help registering? Our platform today holds the most capabilities out of any other platform out there. We're helping customers expand agent deployments, access more functionality with package tiers and adopt new module solutions. Youre building something that protects everybodys data. Tomer Weingarten. In Q2, we added world renowned IR partners like Kroll, Alvarez & Marsal and Group-IB. And are there enough people out there to fulfill your needs? Mr. Weingarten owns 259,427 shares of SentinelOne stock worth more than $3,914,753 as of February 1st. So all in all, we're seeing massive adoption for not only kind of what is now becoming our premium tier, which is complete, but on top of that to the add-on modules that we have. Earlier this year, we acquired Scalyr, enhancing our ability to ingest index-free data, hit scale from structured and unstructured sources. in Computer Science from Tourou International University. Security Operations. SentinelOne is a platform that addresses almost every cybersecurity need that an enterprise would have. Since its April 2019 IPO, CrowdStrike stock has bolted at a 135% annual rate to $252 a share valuing the company at nearly $57 billion. Even for the engine peers, I mean, we're seeing a lot of their customers and we've had a multi-million dollar displacement this quarter for a customer that grew increasingly frustrated with the multiple infections with inefficiency on protecting server environments. And now we're seeing I think, of just increasing increase in accelerated attraction across the board, both in partners and with customers, with sales cycles and with competitive win rates. Thank you, Tomer, and I'd also like to welcome everyone. Novinson is responsible for covering the vendor and technology landscape. We definitely see the ability to expand into other footprints in the enterprise, almost every account that we land. So all in all, I mean, they can actually choose what they want to procure from us, but again apples-to-apples, I think you'll see that prices are very, very similar. 225% on $1 million deals, again, a good reflection of our traction in the enterprise. And we're seeing, the beginning and first innings of traction, we deliver with a lot of our newer modules. Learn the fundamentals of developing a risk management program from the man who wrote the book Whats more, those ambitious growth goals are tough to beat every quarter. Our solution understands in real-time whether theres an anomaly solely through observation and without relying on prior knowledge of whether something is bad or good. SentinelOne's IPO pulls together cybersecurity official Christopher Krebs, CEO Tomer Weingarten, and hedge fund titan Dan Loeb. Turning to the business, in Q2, our ARR growth accelerated to 127% year-over-year and our revenue was up 121%. in Computer Science from the University of Arizona and an M.B.A. from the Wharton School of the University of Pennsylvania. This is the first. - the bible of risk assessment and management - will share his unique insights on how to: Sr. Computer Scientist & Information Security Researcher, Good afternoon everyone and welcome to SentinelOne's earnings call for the second quarter of fiscal year 2022 ended July 31st. That means fewer and more accurate alerts based on data. What we're seeing and Tomer talked about this is with a tremendous innovation, introduction of new modules, new surfaces to protect new problems to solve. When we started, we had 35 competitors, said the companys founder and CEO, Tomer Weingarten, in an interview with the business daily Globes a year and a half ago. Sure. In recent years, following the decline of players like McAfee and Symantec, this market has undergone an upheaval. David, maybe my follow-up for you. Today, theres only us and CrowdStrike.. They wanted a solution that can actually remediate and clean up all the infections they were seeing. SentinelOne invests a lot more in research and development than CrowdStrike did in 2018, when it was the same size (74 percent of revenues rather than 48 percent). twitter, follow us on Theres no way to know whether this figure is correct, but one thing is certain SentinelOne will fight an uphill battle luring the customers who have already chosen CrowdStrike. Weingarten says cloud has become the fastest-growing part of the Silicon Valley-based company's business, appealing even to customers who might have chosen a different vendor for endpoint security. So to us, I mean, those positive performance it's always something that you deal with. Thats a pretty impressive 347% compound annual growth rate in value. Two, we don't compete with our channel partners. Our customers want real-time response and protection. The company focuses on cloud workload protection and bests its rivals when it comes to performance and deployment since it doesn't tap into the kernel or require an intrusive integration, Weingarten says. Can you just maybe help shape what's happening when these when these transactions are getting evolved and what you're seeing with overall expansion of deals? Cybersecurity startup . SentinelOne is growing fast and losing money. But at the same time turn into more of a preventative approach where I'm not saying that you can prevent everything, but you can absolutely do a better job on prevention and really stop that firefighting mode or improve it significantly. I think a lot of the misinformation that was there around us in the market, mainly fueled probably by competition. The CEO and cofounder of SentinelOne is Tomer Weingarten. What we don't try to do is hijack a customer's security budget and to forcing them to buy reams of services, hours to support, a non-automated product. And as a result, we're delivering real-time industry leading threat detection and response from endpoint to IoT to cloud. In 2023, once she's collected all the shares included in the package, she's . We're making tremendous progress with large enterprises, which represent about two thirds of our business. That's because of vision, execution and listening to the needs of our customers. The road isnt always simple when you lead a company to disrupt a very large space and really break new grounds. It's completely cloud delivered. "It's going to be tough for other vendors to follow anytime soon," Weingarten says. So all in all, I mean, it just really kind of falls in line with both of our Zero Trust strategy and our open XDR approach. Except as required by law, we assume no obligation to update these forward-looking statements publicly, or to update the reasons actual results differ materially from those anticipated in the forward-looking statements, even if new information becomes available in the future. After all, lockups will expire creating downward pressure on the stock as early investors sell. I think it's just fair to ask the question, if you can refer to their statements and announcements on this customer? The financial outlook that we provided today excludes stock-based compensation expense, which cannot be determined at this time and are therefore not reconciled in today's press release. Our non-GAAP gross margin in Q2 was 62% and expanded 900 basis points, a healthy pickup from last quarter. That's something we'll advance, once we get it completely tied into the SentinelOne back end. And I think that's why you see customers its scale against multi-million dollar ACVs shifting away. And the idea is over time to continue and ingest more data from all of these adjacent solutions in the enterprise into our open XDR platform. In Q2, we added over a dozen additional IR partners and are bringing more online in Q3 and beyond. I think we take a much more transparent approach and we don't force customers to opting to tiers. From there, Weingarten says, the customer picks and chooses what data to transport into the SIEM for ticketing purposes or to respond to workflows that are already in place. We knew from the beginning that the best solution would have to harness the power of data and AI. We look at it as a contextual narrative, such as like telling a story, said Weingarten. As it relates to some of the $1 million ARR customers that you landed. And I would now like to pass the call back over to Tomer Weingarten, CEO of SentinelOne. I have a quick one, if I can squeeze in, if not I'll ask you privately. We did this in two ways in Q2, tackling group IoT devices and expanding zero trust partnerships and enterprise can't protect what it can see, including IoT and unmanaged devices. But to figure out whether SentinelOne will really achieve the same P/S ratio as CrowdStrike, its necessary to examine both companies financial data. And that's kind of what we see in this space today. Since then, its market value has increased sevenfold. Definitely on the enterprise side, weve seen more lends with our complete tier, actually were more attached to ranger, more attached to vigilance, more attached to data retention. "We've identified the critical capabilities that our customers need, and they're very adjacent to workload protection," Weingarten says. Not If We Focus on Cyber Resilience, Protecting the Hidden Layer in Neural Networks, Crime Blotter: Hackers Fail to Honor Promises to Delete Data, How the Economic Downturn Has Affected Security Funding, M&A. Its just code, and it becomes this important part of pretty much everything. The dollar-based gross retention rate: 97%. Based on the analysis from IDC, the spending is expected to reach $40.2 billion by 2024, which represents a compound annual growth rate of nearly 12%. Please. Finally, for operating margin we expect negative 96% to 99% in Q3. Many customers are using XDR as a filtering mechanism for their SIEM tools, Weingarten says, putting all of their data initially into XDR since it's much more cost-effective. I'm delighted to help protect that many businesses. Once the data is ingested, Weingarten says, SentinelOne has mechanisms in its Singularity platform that let customers build rules around the collected data and invoke responses to those commands across any product. There are several structural forces that play that will drive long-term and sustained growth for us in our industry. Qualcomm Ventures. What that enables customers to do is achieve the outcome we're driving for them and our prospects and customers, which is protection and prevention. So we obviously look for global talent everywhere. Hot Topics 27 Febbraio 2023 | Nuove nomine di executive in SentinelOne; 27 Febbraio 2023 | Artemis nomina Alex Stanic nuovo Head of global equities; 27 Febbraio 2023 | Candriam: nuovo accordo con il Gruppo Sella; 27 Febbraio 2023 | Garbe industrial Real Estate Italy nomina Sara Labrini nel ruolo di Senior Technical Development Manager; 27 Febbraio 2023 | Massimo Braganti nominato Direttore . And we're definitely seeing more market presence. Check out the opportunities and risks within the US Software industry.. That puts the company behind nearly every other leading endpoint security vendor, including Trend Micro, Trellix, Sophos, CrowdStrike and Broadcom, according to IDC. This is Nick here. And then what's the availability look like? 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