A Look Back at Q2 '22 Public Cloud Software Earnings
Q2 earnings season for cloud businesses is now behind us. The 69 companies that I’ll discuss here (which is not an exhaustive list, but is still comprehensive) all reported quarterly earnings sometime between July 20th – September 12th. In this post, I’ll take a data-driven approach in evaluating the overall group’s performance, and highlight individual standouts along the way. As a venture capitalist, I naturally cater my analysis through the lens of a private investor. Over my 6+ years as a VC, I’ve had the opportunity to meet with hundreds of entrepreneurs who are all building special companies. Through these interactions, I’ve built up mental benchmarks for metrics on which I place extra emphasis. My hope is that this analysis can provide startup entrepreneurs with a framework for how to manage their businesses around SaaS metrics (e.g., net retention and CAC payback). Let’s dive in.
If you don’t have time to read the rest of this article, here are the companies who I believe really stood out (from a financial perspective). They represent my “Q2 Big Winners.” The 3 companies in the box are the elite performers. This is not an indication of who I think will preform the strongest in the future, but a look-back on who preformed the best in Q2 (based on a formula I use that factors in many different financial variables)
