3Q17 SaaS Public Market Product Category Financial Performance

Our 3Q17 SaaS Public Market Snapshot includes operational and financial performance metrics for all publicly traded SaaS companies. This includes median EBITDA margin, TTM revenue growth, operating ratios, the Rule of 40% analysis, public market multiples by product category, and more…

SaaS Public Market Product Category Financial Performance Highlights:

  • ERP & Supply Chain SaaS companies posted the highest EV/Revenue multiple in 3Q17 (8.7x), led by Kinaxis (11.1x EV/Rev), Workday (10.7x EV/Rev), and Coupa (8.7x EV/Rev). IT, Other SaaS, and Security followed close behind, posting EV/Revenue multiples of 8.3x, 7.2x, and 6.7x, respectively.
  • Once again, vendors within the IT category led the Index with 41.9% median TTM revenue growth in 3Q17, and decreased from 3Q16’s 51.6% growth rate. Vendors comprising the Communications and Other SaaS product categories generated median revenue growth north of 30%.

To read more about the SEG SaaS Index financial performance by product category, see page 12 in our 3Q17 SaaS Public Market Snapshot.