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Image source: The Motley Fool. monday.com Ltd. ( MNDY -3.01%) Q1 2022 Earnings Call May 16, 2022, 8:30 a.m. ET Contents:
Questions and Answers
Good day. My name is Melissa, and I’ll be your conference operator today. At this time, I would like to welcome everyone to monday.com’s first quarter fiscal year 2021 earnings conference call. I would like to turn the call over to monday.coms director of investor relations, Mr.
Byron Stephen. Please go ahead.
Byron Stephen — Director of Investor Relations
Good day, everyone, and thank you for joining us on today’s conference call to discuss the financial results for monday.com’s first quarter fiscal year 2022. Joining me today are Roy Mann and Eran Zinman, co-CEOs of monday.com; and Eliran Glazer, monday.com CFO. We released our results for the first quarter fiscal year 2022 earlier today. Our earnings materials are available on our investor relations website at ir.monday.com.
There, you will find the investor presentation that accompanies our prepared remarks and a replay of today’s webcast under the news and events section. Certain statements made on the call today will be forward-looking statements, which reflect management’s best judgment based on the currently available information. These statements involve risks and uncertainties that may cause actual results to differ from our expectations. Please refer to our earnings release for more information on the specific factors that could cause actual results to differ materially from our forward-looking statements.
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Additionally, non-GAAP financial measures will be discussed on the call. Reconciliations to the most directly comparable GAAP financial measures are available in the earnings release and the earnings presentation for today’s call, which are posted on our investor relations website. With that, let me turn the call over to Roy.
Roy Mann — Co-Chief Executive Officer
Thanks, Byron. Good day, everyone, and welcome to our Q1 2022 earning call. Our first quarter revenue grew 84% to a record $108.5 million. This is an exciting milestone for us as it represents our first $100 million revenue quarter as a company.
We continue to see strong demand for our product with our sales teams driving new logo acquisition and strong expansion within our existing customer base during the quarter. 50% of the Fortune 500 companies use our platform, up from 38% just a year ago. To address the needs of our customers in the enterprise segment, we are investing in creating more value for these customers, including in security, governance, and compliance requirements. Because we see enterprise customers as an important growing segment of our business, we are releasing our net dollar retention rate for enterprise customers with more than $50,000 in ARR and their percentage of our total ARR.In Q1, the total number of these customers was 960, up 187% from a year ago. These enterprise customers with more than $50,000 ARR now represent 22% of our total ARR. As we continue to go upmarket, more customers are increasing their adoption and usage of monday across the organization. In Q1, the net dollar retention rate for customers over $50,000 in ARR was above 150%.This high NDR reflects our potential to continue to expand among large customers. Please refer to our Q1 investor presentation for historical comparisons for these metrics. Among customers with more than 10 users, net dollar retention rate is above 135%. And among all customers, the net dollar retention was over 125%.As a reminder, our net dollar retention rate is a trailing four quarter weighted average calculation. In the first quarter, we increased sales and marketing spend by approximately $50 million, up 84% from Q1 ’21. These sales and marketing efforts accelerated our acquisition of new customers while keeping the same […]
source monday.com Ltd. (MNDY) Q1 2022 Earnings Call Transcript