Elastic, creator the Elastic Stack, has filed an amended S-1 form with the U.S. Securities and Exchange Commission (SEC) in regards to its initial public offering (IPO). The company expects to price its 7.0 million shares in the range of $33 to $35, with an overallotment of 1.05 million shares. The range was previously expected to be $26 to $29. At the maximum price, the entire offering is valued up to $281.75 million. The company intends to list its shares on the New York Stock Exchange under the symbol ESTC.
The underwriters for the offering are Goldman Sachs, JPMorgan, Barclays, RBC Capital Markets, Merrill Lynch, Citigroup, Jefferies and Canaccord Genuity.
The Elastic Stack (previously known as the ELK Stack) is a powerful set of software products that ingest and store data from any source, and in any format, and perform search, analysis and visualization in milliseconds or less.
Developers build on top of the Elastic Stack to apply the power of search to their data and solve business problems. The firm also has built software solutions on the Elastic Stack that address a wide variety of use cases, including app search, site search, enterprise search, logging, metrics, application performance monitoring, business analytics and security analytics. The Elastic Stack and other solutions are designed to run on premises, in public or private clouds, or in hybrid environments.
In the filing, the company described its finances as follows:
Our revenue was $159.9 million and $88.2 million in fiscal 2018 and 2017, respectively, representing year-over-year growth of 81% for fiscal 2018. Our revenue was $56.6 million and $31.6 million in the three months ended July 31, 2018 and 2017, respectively, representing period-over-period growth of 79%. Subscriptions accounted for 93% and 90% of our total revenue in fiscal 2018 and 2017, respectively. Subscriptions accounted for 91% of our total revenue in the three months ended July 31, 2018. In fiscal 2018, revenue from outside the United States accounted for 39% of our total revenue.
In fiscal 2018 and 2017, we incurred net losses of $52.7 million and $52.0 million, respectively, and our operating cash flow was $(20.8) million and $(16.1) million, respectively. In the three months ended July 31, 2018 and 2017, we incurred net losses of $18.6 million and $10.0 million, respectively, and our operating cash flow was $5.1 million and $0.9 million, respectively.
Elastic intends to use the net proceeds from this offering primarily for working capital and general corporate purposes.