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EX - 99.1 2 nabl - 20210930x8kxex991.htm EX - 99.1 NN - ABLE ™ N - able Announces Third Quarter 2021 Results Third Quarter Subscription Revenue Increased 17 % Year - Over - Year TTM Dollar - Based Net Retention Rate of 110 % Reflects Strong Expansion Customers Representing $ 50K ARR or More Grew 25 % Year - Over - Year WAKEFIELD , Massachusetts - November 9 , 2021 - N - able , Inc. ( NYSE : NABL ) , the purpose - built technology partner for managed services providers ( MSPs ) , today reported results for its third quarter ended September 30 , 2021 . " I want to express my gratitude to the entire N - able team for their focus on operational execution in the third quarter as we finalized becoming an independent company , " said N - able President and CEO John Pagliuca . " I believe N - able is well - positioned in a dynamic industry with strong growth potential . The digital evolution is accelerating with SMEs looking to increase productivity , collaboration , and security as they look to differentiate for a new hybrid workforce . Our MSPs are looking to us to support them with both the technology and the tools that will enable them to land , expand , and retain their customers who are relying on them for proactive and recurring IT services . As the N - able brand gains traction , we continue to improve and refine the ' Why N - able ' story by demonstrating the unique benefits of our platform to MSP partners around the world . " " We saw continued robust demand for our security and data protection offerings , contributing to total revenue growth of 16 percent year over - year that exceeded the high end of our outlook , " added N - able Executive Vice President & CFO Tim O'Brien . " Our trailing twelve months dollar - based net retention rate remained steady at 110 percent , reflecting healthy expansion across our partner base , while our number of large customers , which we define as those with $ 50,000 of ARR or more on our platform at quarter - end , increased 25 percent year - over - year and now represents 46 percent of our total ARR . As we look ahead , we are optimistic that the investments we've been making this year will contribute to continued growth in our business in 2022. We will continue to execute on our strategic product and go to - market initiatives to further our value to all of our stakeholders . " Third quarter 2021 financial highlights : ● Exhibit 99.1 Total revenue of $ 88.4 million , representing approximately 16 % year - over - year growth . Subscription revenue of $ 86.1 million , representing approximately 17 % year - over - year growth . GAAP gross margin of 86.1 % and non - GAAP gross margin of 87.7 % . GAAP net income of $ 1.9 million , or $ 0.01 per diluted share , and non - GAAP net income of $ 17.2 million , or $ 0.10 per diluted share . Adjusted EBITDA of $ 29.7 million , representing an adjusted EBITDA margin of 33.6 % . For a reconciliation of our GAAP to non - GAAP results , please see the tables below . Additional highlights for the third quarter of 2021 include : In the third quarter , N - able was awarded the Overall Category Win for Best in Class , MSP Platforms category from CRN , a brand of the Channel Company , during this year's CRN Annual Report Card ( ARC ) Awards . N - able's Mail Assure email security solution received a top result in an independent test conducted by the Virus Bulletin , an industry renowned test laboratory . Mail Assure received the highest award VBSpam + rating in September 2021 , from the VBSpam test that takes into consideration various types of unwanted and dangerous email , with a malware catch rate of 100.00 % , and zero false positives . N - able completed its spin - off from SolarWinds Corporation on July 19th and began trading on the NYSE under ticker NABL on July 20th Balance Sheet At September 30 , 2021 , total cash and cash equivalents were $ 61.6 million and total debt was $ 339.3 million .