ExaGrid, a leading provider of Tiered Backup Storage solutions, has reported its most successful third quarter in company history, ending September 30, 2023. The company experienced nearly 20% growth compared to Q3 2022 and has maintained this level of growth year-on-year. This marks ExaGrid’s 11th consecutive quarter of positive Free Cash Flow (FCF), profitability, and EBITDA.
During the quarter, ExaGrid gained 130 new customers, including two significant deals each worth seven figures, bringing its total active customer base to over 4,000. These customers, ranging from upper mid-market firms to large enterprises, rely on ExaGrid’s unique Tiered Backup Storage technology to protect their data. As demand for data storage solutions increases, ExaGrid has announced plans to further expand its global sales teams to meet the growing market.
Global Reach Expands
ExaGrid’s global presence continues to grow, with sales teams now established in more than 30 countries and customer installations spanning over 80 countries. The company’s business outside of the United States, including regions such as Canada, Latin America, Europe, the Middle East, Africa, and Asia Pacific, now accounts for 45% of its revenue. As the company continues to grow globally, ExaGrid is further strengthening its international sales efforts.
“We hit 4,000 active customer installations in Q3, and we were cash, P&L, and EBITDA positive for the 11th quarter in a row,” said Bill Andrews, President and CEO of ExaGrid. “Our business is expanding rapidly outside of the US, and we’re adding more sales teams globally. This momentum is a clear reflection of the demand for specialised backup storage solutions, especially in the face of growing data volumes and cybersecurity challenges.”
Meeting the Unique Needs of Backup Storage
ExaGrid’s success can be attributed to its focus on addressing the unique challenges associated with backup storage. According to Andrews, most vendors in the storage space either sell primary storage products for backup purposes, which are costly and inefficient, or inline deduplication appliances, which can be slow and vulnerable to security risks. In contrast, ExaGrid’s Tiered Backup Storage is purpose-built for backup environments, ensuring faster backup and restore performance, scalability as data grows, and enhanced security features, including ransomware recovery.
“ExaGrid’s Tiered Backup Storage is designed to meet the specific needs of backup systems, providing greater performance, scalability, and security,” Andrews explained. “Our Retention Time-Lock feature for Ransomware Recovery is activated by 94% of our customers, and with a net customer retention rate of 95% and a Net Promoter Score (NPS) of +81, we’re proud to have a product that meets and exceeds customer expectations.”
Strong Financial Results
The company’s financial health remains strong, with positive cash flow, profitability, and EBITDA for the 11th consecutive quarter. In addition to its revenue growth, ExaGrid continues to maintain customer satisfaction, with 99.1% of its customers renewing their yearly maintenance and support plans.
Looking ahead, ExaGrid is poised to continue its upward trajectory with plans to expand its reach globally and further strengthen its position as a leader in the backup storage market.
