Q2 2025 Rapid7 Inc Earnings Call Transcript

Aug 7, 2025 / 08:30 PM GMT

Release Date Price: MXN960.35

Transcript 10-Q8-K

Key Points

Positve

Rapid7 Inc (RPD) ended the second quarter with $841 million in ARR, showing a 3% year-over-year growth.
Revenue and profitability exceeded expectations, with a strong free cash flow of $42 million.
The detection and response business continues to be a core growth driver, representing over half of ARR and growing in the mid-teens year over year.
The company announced a significant milestone with the launch of the Incident Command platform, enhancing their integrated security operations.
Rapid7 Inc (RPD) is uniquely positioned to capitalize on the demand for AI tools in security operations, leveraging years of experience and proprietary data.

Negative

Customer spending scrutiny persists, impacting the overall business environment.
Deal cycles remain extended, particularly for larger, more strategic deals, affecting revenue timing.
The company narrowed its full-year ARR guidance range, reflecting caution due to macroeconomic factors and seasonality.
There is a need for better market education and operationalization of the expansion engine to improve sales efficiency.
The number of customers has modestly declined for two consecutive quarters, indicating potential challenges in customer acquisition or retention.

Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

RPD.OQ - Rapid7 Inc
Q2 2025 Rapid7 Inc Earnings Call
Aug 07, 2025 / 08:30PM GMT

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Presentation
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Unidentified_1 [1]
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Good day everyone. My name is Leyla, and I will be your conference operator today. At this time, I would like to welcome you to the Q2 2025 Rapid7 earnings call. All lines have been placed on mute to prevent any background noise.

After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, and if you have joined via the webinar, please use the raise hand icon, which can be found at the bottom of your webinar application.

At this time, I would like to turn the call over to Elizabeth Schwalk, Vice President of Investor relations.

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Unidentified_2 [2]
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