SAN FRANCISCO - GitLab Inc. (NASDAQ: GTLB), a leader in the DevSecOps platform sector, has reported a robust first quarter for the fiscal year 2025, surpassing analyst expectations for both earnings and revenue. The company announced an adjusted EPS of $0.03, which was $0.07 higher than the analyst estimate of -$0.04. Revenue for the quarter was equally impressive, coming in at $169.2 million, against the consensus estimate of $165.89 million, marking a significant 33% increase from the same quarter last year.
The company's forward-looking guidance also exceeded analyst forecasts. For the second quarter of 2025, GitLab anticipates an adjusted EPS between $0.09 and $0.10, compared to the consensus of $0.06. Revenue is expected to be between $176 million and $177 million, which aligns closely with the consensus of $177 million. For the full fiscal year 2025, the company projects an adjusted EPS of $0.34 to $0.37, outpacing the analyst consensus of $0.22, and revenue guidance stands at $733 million to $737 million, slightly above the consensus of $732 million.
GitLab's CEO, Sid Sijbrandij, commented on the company's success, attributing it to their AI-driven software innovations that streamline the entire software development lifecycle. "Our results show that customers see the value of our end-to-end DevSecOps platform, which enables them to leverage AI throughout the software development lifecycle and enhance productivity while creating better and more secure code," said Sijbrandij.
The company's financial health was further underscored by a significant year-over-year expansion in both GAAP and adjusted operating margins and the generation of positive cash flow in the first quarter. GitLab's operating cash flow was reported at $38.1 million, with an adjusted free cash flow of $37.4 million.
Brian Robins, GitLab's chief financial officer, highlighted the company's strong top-line growth and operational efficiency. "Operating margin expanded significantly year-over-year and, for the first time, we generated positive first quarter cash flow. With GitLab, customers consolidate their spending and deliver outcomes to the business more quickly, maximizing budgets, and increasing their competitiveness," Robins explained.
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