For the fourth quarter of 2020, Splunk expects revenue to be approximately $780 million and non-GAAP operating margin to be approximately 23%.
For the full year 2020, the company lifted its revenue expectation to $2.35 billion, from the prior projection of $2.30 billion. Guidance on the non-GAAP operating margin was kept unchanged at approximately 14%.
The San Francisco-based firm signed 440 new enterprise customers during the third quarter. Splunk completed the acquisition of SignalFx and announced the acquisition of Omnition in the just-concluded quarter.
“With the shift to a renewable model largely complete, momentum in our term license and cloud offerings drove 53% growth in total ARR during the quarter,” said CFO Jason Child.
Shares of Splunk have advanced 21% so far this year and 37% from this time last year.