Rapid7, Inc. SEC 10-Q Report

Rapid7, Inc., a leading provider of security data and analytics solutions, has released its Form 10-Q report for the first quarter of 2025. The report highlights the company's financial performance and operational achievements, showcasing its continued growth and strategic focus in the cybersecurity industry.

Financial Highlights

• Total Revenue: $210.3 million, reflecting a year-over-year growth of 2.5% driven by increased sales of product subscriptions.
• Gross Profit: $150.8 million, with a gross margin improvement due to cost management and operational efficiencies.
• Operating Income: $(0.1) million, indicating a slight operating loss primarily due to increased operating expenses.
• Net Income: $2.1 million, an increase from the previous year, supported by effective cost control and revenue growth.
• Net Income Per Share, Basic: $0.03, showing a slight improvement in profitability per share compared to the prior year.
• Net Income Per Share, Diluted: $0.03, consistent with the basic EPS, reflecting stable earnings performance.

Business Highlights

• Revenue Segments: Rapid7's revenue is primarily derived from product subscriptions and professional services. Product subscriptions include cloud-based subscriptions, managed services, and software licenses with related maintenance and support. Professional services revenue comes from deployment, training, incident response, and security advisory services.
• Geographical Performance: For the three months ended March 31, 2025, Rapid7 reported revenue from North America at $157.9 million and from the rest of the world at $52.3 million, indicating a strong presence in North America.
• Customer Base: As of March 31, 2025, Rapid7 had over 11,000 customers in 151 countries, including 39% of the Fortune 100, showcasing a diverse and extensive customer base across various industries.
• Business Model: Rapid7 offers its products through cloud-based subscriptions, managed services, and licensed on-premise software, catering to a wide range of customer needs and preferences.
• Future Outlook: Rapid7 is focused on driving innovation across its core products and capabilities to accelerate customer value and provide an integrated cloud security experience. The company aims to be a leader in delivering integrated risk and threat management across on-premise, cloud, and external attack surfaces.
• Strategic Focus: Rapid7 is shifting its strategic focus towards SecOps consolidation, emphasizing security consolidation, integrated cloud security, and expertise-driven outcomes to meet the demands of modern Security Operations Centers (SOCs).

SEC Filing: Rapid7, Inc. [ RPD ] - 10-Q - May. 12, 2025