Unknown (appears to be personal blog/newsletter) · 2017-07-06 · 3255d

Tintri S-1 IPO Analysis: When Hardware Companies Look Like SaaS

Dave Kellogg analyzes Tintri's S-1 filing and IPO performance, finding a traditional hardware/on-premises storage company masquerading with SaaS metrics. Despite $125M in revenue and 45% growth, the company exhibits poor unit economics and significant losses, trading far below its pre-IPO valuation.

26 metrics· Cited 0× in the knowledge base ·Open source ↗

Metrics in this report

CEO Cash Compensation 2017

525$K

actual

Tintri

CEO Ownership

3.8%

actual

Tintri pre-IPO

CFO Cash Compensation 2017

330$K

actual

Tintri

Capital Raised Pre-IPO

260$M

actual

Tintri cumulative

Customer Count

1250customers

actual

Tintri total

Employee Count

527employees

actual

Tintri as of 2017-01-31

Fortune 100 Customers

21count

actual

Tintri

Gross Margin

65%

actual

Tintri FY2017

IPO Valuation

231$M

actual

Tintri at $7.50/share, 31M shares

Incremental S&M Efficiency

73cents per dollar

actual

Tintri incremental S&M / incremental revenue

Insight Venture Partners Ownership

20.2%

actual

Tintri pre-IPO

Lightspeed Ownership

14.5%

actual

Tintri pre-IPO

Long-Term Debt

48.9$M

actual

Tintri

NEA Ownership

22.7%

actual

Tintri pre-IPO

Operating Cash Flow

-70.4$M

actual

Tintri FY2017

Operating Margin

-81%

actual

Tintri FY2017

Pre-IPO Valuation (implied)

801$M

derived

Before $570M destruction

Quarterly Operating Cash Burn

17$M

average

Tintri FY2017

Research & Development Spend

43% of revenue

actual

Tintri FY2017

Rule of 40 Compliance Gap

75points

actual

Tintri shortfall from 40-point threshold

Rule of 40 Score

-35points

actual

Tintri (45% growth + -81% margin)

Sales & Marketing Spend

87% of revenue

actual

Tintri FY2017

Silver Lake Ownership

20.4%

actual

Tintri pre-IPO

Stock-Based Compensation Expense

13.8$M

actual

Tintri FY2017

Total Revenue FY2017

125$M

actual

Tintri

Year-over-Year Revenue Growth

45%

actual

Tintri FY2017