SCWX - SecureWorks rallies 7% post Q1 results

Secureworks (SCWX +7.4%) rallies following its Q1 earnings as the Co. continued expansion of its Taegis customer base, resulting in Taegis ARR growth of 149% Y/Y. Added 900 customers since Q1 of last year, up 180% over the prior year to end the quarter at 1,400 total Taegis customers. Taegis subscription revenue was $37.2M for the quarter, up 167% Y/Y. Average revenue per Taegis customer was ~$129K, remaining a premium to our non- Taegis customers, which averaged 88K/customer. Non-GAAP gross margin was 63.1% compared with 61.9% in the Q1 2022. Adjusted EBITDA loss for the quarter was $7.8M, compared with income of $8.1M in the first quarter of fiscal 2022. Q2 2023 Outlook: Revenue of $115-117M vs. $119.67M consensus, non-GAAP net loss per share of $0.15 to $0.17 vs. net loss of $0.16 consensus. 2023 Outlook: Revenue of $475M-$490M vs. $481.98M consensus, non-GAAP net loss per share of $0.61 to $0.70 vs. net

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SecureWorks rallies 7% post Q1 results