Q3 2025 Rapid7 Inc Earnings Call Transcript

Nov 4, 2025 / 09:30 PM GMT

Release Date Price: €15.52 (-3.51%)

Transcript 10-Q8-K

Key Points

Positve

Rapid7 Inc (RPD) reported revenue of $218 million and operating income of $37 million, both exceeding their outlook.
The company generated strong free cash flow of $30 million in the third quarter.
Rapid7 Inc (RPD) is making significant organizational changes to accelerate growth, including new leadership appointments.
The company's AI-powered security operations platform is gaining traction, with notable wins such as a six-figure deal with a large public university.
Rapid7 Inc (RPD) has expanded its partnership with Microsoft, integrating its MDR solution with Microsoft Defender to enhance detection and response capabilities.

Negative

Rapid7 Inc (RPD) reduced its 2025 ARR target due to higher near-term forecasting variance and operational changes.
The company acknowledged falling short of ARR guidance in recent history, impacting investor confidence.
There is timing variability within the large-scale pipeline, affecting deal closure rates.
The customer spending environment is challenged by additional scrutiny, particularly in large deals.
Professional services revenue continues to decline year over year, consistent with the company's decision to deemphasize certain lower-margin services.

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

RPD.OQ - Rapid7 Inc
Q3 2025 Rapid7 Inc Earnings Call
Nov 04, 2025 / 09:30PM GMT

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Presentation
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Unidentified_1 [1]
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Hi, Tim Adams, 123.

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Unidentified_2 [2]
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Sounded good.

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Unidentified_3 [3]
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Tim, thank you. All right, good. I think it's just a distance from the microphone now, I'm going to.

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Unidentified_4 [4]
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Good day,

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