Summary
MongoDB reported third-quarter fiscal 2025 total revenue of $529.4 million, up 22.3% from the prior-year quarter. Total revenue growth reflected increased demand for the platform and related services. The company ended the quarter with over 52,600 customers, up from over 46,400 a year earlier. Direct sales customers exceeded 7,400, and Atlas customers exceeded 51,100. Customers spending at least $100,000 in annualized recurring revenue or annualized monthly recurring revenue reached 2,314, compared with 1,972 a year earlier. Net ARR expansion rate was approximately 120%, which the company said was below its historical level of over 120% because of a smaller contribution from expanding customers.
On a GAAP basis, gross profit was $394.0 million, up 20.9%, while gross margin slipped to 74.4% from 75.3%. The operating loss narrowed to $27.9 million from $45.2 million. The net loss narrowed to $9.8 million from $29.3 million. Non-GAAP gross profit was $405.7 million, a 77% non-GAAP gross margin. Non-GAAP income from operations was $101.5 million, compared with $78.5 million. Non-GAAP net income was $98.1 million, or $1.16 per share, compared with $79.1 million, or $0.96 per share. Operating cash flow was $37.4 million, down 2.6% from $38.4 million. Free cash flow was $34.6 million, compared with $35.0 million. Capital expenditures were $1.98 million, down 4.7%. Deferred revenue was $304.9 million, down 5.0% from $320.8 million.
For the first nine months of fiscal 2025, revenue was $1.46 billion, up 19.0%. Gross profit was $1.07 billion, up 17.1%, and gross margin was 73.5%, down 1.2 percentage points. The operating loss widened to $197.5 million from $162.8 million. The net loss widened to $144.9 million from $121.1 million. Operating cash flow was $99.65 million, up 49.1%. Capital expenditures were $3.57 million, up 7.0%. Operating margin was negative 13.5%, down 0.3 percentage points.
Management issued guidance for the fourth quarter of fiscal 2025 and the full fiscal year. For the fourth quarter, revenue is expected to be $515.0 million to $519.0 million, non-GAAP income from operations $55.0 million to $58.0 million, and non-GAAP net income per share $0.62 to $0.65. For the full fiscal year 2025, revenue is expected to be $1.973 billion to $1.977 billion, non-GAAP income from operations $241.8 million to $244.8 million, and non-GAAP net income per share $3.01 to $3.03. The company said reconciliations of these non-GAAP guidance measures to the most directly comparable GAAP measures are not available without unreasonable efforts.
The quarter included the general availability of MongoDB 8.0 and expanded cloud partnerships, including being named AWS Technology Partner of the Year for North America. The company also added Capgemini, Confluent, IBM, Unstructured, and QuantumBlack to its MongoDB AI Applications Program ecosystem. Headcount rose to 5,436 from 4,849 a year earlier. Management flagged a CFO transition: Michael Gordon will step down at the end of the fiscal year on January 31, 2025, and Serge Tanjga will serve as interim CFO starting February 1 if a permanent successor has not been named. The MD&A noted that the macroeconomic environment negatively affected the business during the nine months ended October 31, 2024, with slower than historical growth rates for existing Atlas applications. The company expects macroeconomic headwinds on growth for existing Atlas applications in the short term and continues to expect to incur operating losses. Other risks include competition, a history of losses, and geopolitical uncertainty.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q3 FY2025 | Q2 FY2025 | QoQ | Q3 FY2024 | YoY |
|---|---|---|---|---|---|
| Revenue | $529.4M | $478.1M | +10.7% | $432.9M | +22.3% |
| Gross profit | $394.0M | $349.9M | +12.6% | $325.9M | +20.9% |
| Gross margin | 74.4% | 73.2% | +1.3 pp | 75.3% | -0.8 pp |
| Research & development | $151.4M | $149.0M | +1.6% | $128.2M | +18.2% |
| Sales & marketing | $218.0M | $221.5M | -1.6% | $193.0M | +12.9% |
| General & administrative | $52.6M | $50.8M | +3.5% | $50.0M | +5.2% |
| Total operating expenses | $421.9M | $421.3M | +0.1% | $371.1M | +13.7% |
| Operating income (loss) | -$27.9M | -$71.4M | +61.0% | -$45.2M | +38.3% |
| Operating margin | -5.3% | -14.9% | +9.7 pp | -10.4% | +5.2 pp |
| Net income (loss) | -$9.8M | -$54.5M | +82.1% | -$29.3M | +66.6% |
| Net margin | -1.9% | -11.4% | +9.6 pp | -6.8% | +4.9 pp |
| Customers | 1,225,009 | 792,071 | +54.7% | 922,728 | +32.8% |
Risks
Adverse macroeconomic conditions negatively impacted the business, causing slower than historical growth rates for existing MongoDB Atlas applications for the nine months ended October 31, 2024. Management expects macroeconomic headwinds on the growth rate for existing Atlas applications in the short term and to continue to negatively impact revenue growth for the remainder of the year.
MongoDB derives more than the majority of revenue from MongoDB Atlas, which is primarily usage-based. Atlas revenue represented 68% and 70% of total revenue for the three and nine months ended October 31, 2024, up from 66% and 65% in the prior-year periods, increasing exposure to Atlas adoption and consumption fluctuations.
Net ARR expansion rate was approximately 120% as of October 31, 2024, a decline from historically over 120%, attributable to a smaller contribution from expanding customers. The majority of subscription contracts are one year in duration and customers have no obligation to renew or expand usage.
In December 2023, a previously unknown flaw in a third-party application used by MongoDB enabled an unauthorized third party to phish and gain access to certain corporate applications, including support services applications containing customer contact information and related account metadata. The investigation found no evidence of unauthorized access to MongoDB Atlas clusters, but future incidents could disrupt operations and harm reputation.
The database market is highly competitive, with established legacy providers such as IBM, Microsoft, and Oracle and public cloud providers such as AWS, Google Cloud Platform, and Microsoft Azure. Larger competitors may bundle competing products or lower prices, which could cause customers to choose bundled offerings even if individual products have more limited functionality.
The sales cycle is long and unpredictable, generally three to nine months and can extend to more than a year for some customers. Rising inflation and interest rates and global economic uncertainty may cause potential customers to reduce or delay technology spending, further extending the sales cycle.
The company faces risks from new and evolving technologies such as AI and generative AI, including potential flawed or biased outputs, intellectual property and security risks from AI-generated code, and evolving regulations such as the EU AI Act. These may increase R&D costs, create liability, or slow adoption of AI in MongoDB products.
MongoDB issued a redemption notice on October 16, 2024 for all $1,149,972,000 aggregate principal amount outstanding of its 2026 Notes, with conversions settled in common stock. The debt and related capped call transactions may affect the value of the 2026 Notes and the common stock and require significant cash flow.
Community Server is offered under the SSPL or AGPL, and the SSPL has not been interpreted by any court or approved by the Open Source Initiative. If these licenses are held unenforceable or fail to prevent competitors from using the software, MongoDB's ability to monetize and protect its intellectual property could be harmed.
Growth depends on expanding the sales and marketing organization, but there is significant competition for experienced sales professionals, particularly for larger enterprises. New hires require significant training and time before achieving full productivity, and failure to hire or retain sufficient qualified personnel could limit revenue growth.
MongoDB is subject to stringent and evolving data privacy and security laws, including the GDPR, UK GDPR, CCPA, and LGPD. Violations can result in fines up to 20 million euros or 4% of total worldwide global turnover under the GDPR, and compliance costs and litigation risks are increasing.
MongoDB had an accumulated deficit of $1.9 billion as of October 31, 2024, and net loss widened to $144.9 million for the nine months ended October 31, 2024 from $121.1 million in the prior-year period. The company expects to continue to incur operating losses and may need additional capital.
SaaS KPIs
All quarters →Total Customers
MongoDB Atlas Customers
Direct Sales Customers
Free Cash Flow
Net ARR Expansion Rate
Customers over $100K ARR
Non-GAAP Gross Margin
Non-GAAP Operating Margin
Summary, forecast, risks and KPIs are extracted from MongoDB, Inc.'s SEC filings for Q3 FY2025 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 1, 2026.