Summary by Moomoo AI
Cloudflare reported robust financial results for Q3 2024, with revenue climbing 28% year-over-year to $430.1 million. The company's gross margin improved to 78%, while non-GAAP operating income reached $63.5 million. The paying customer base expanded by 22% to 221,540, including 3,265 customers with annual revenue exceeding $100,000.Operating expenses increased to $364.9 million, up 23% from the previous year, primarily driven by higher employee-related costs and expanded sales and marketing initiatives. The company continued to invest heavily in research and development, with expenses rising 22% to $110.9 million to support product innovation and network expansion.Looking ahead, Cloudflare maintains strong momentum in customer acquisition and product development, though facing some macroeconomic headwinds. The company's global network now spans over 330 cities in more than 120 countries. Free cash flow improved to $45.3 million, representing an 11% margin, while maintaining a solid balance sheet with $182.9 million in cash and $1.6 billion in available-for-sale securities.
