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Slack Continues to Grow Strongly, the Company Attract 12,000 New Paying Customers

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Slack continues to grow strongly, but the mass work from home yields less growth than expected. The company manages to attract 12,000 new paying customers.

 

The workspace chat application was able to post $ 201.7 million in revenue in the first quarter of fiscal 2021, 50 percent more than the previous quarter and 67 percent higher than the year-ago quarter.

This is accompanied by 12,000 new paying customers out of a total of 122,000. The full number of organizations using Slack, paid and free, comes to 750,000, up from 660,000 three months ago.

Slack continues to grow with this, but the organization is not yet profitable. The operating loss (GAAP) is $ 76.2 million, or 37.8 percent of total sales. That is also more than the loss of the past quarter.

Reuters notes that investors are disappointed. On the one hand, many companies work from home, and there is a need for collaboration tools such as Slack.

On the other hand, Slack itself states that the corona crisis has led to a decrease in the expenditure by large customers in some sectors, such as the travel sector, ride-sharing and hospitality.

For the full fiscal year 2021, Slack expects revenues of between $ 855 million to $ 870 million and growth of 36 to 38 percent, with an operating loss of $ 100 million to $ 110 million.

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