Red Hat’s Q4 showed rising subscription revenue and more big deals, giving a total revenue of $772m, up 23% year-over-year, or 18% in constant currency; full fiscal year total revenue of $2.9bn was up 21% year-over-year, or 20% in constant currency.
Subscription revenue breakdown had Infrastructure-related offerings, $510m (+13% in constant currency); Application Development-related and other emerging tech, $173m (+34%); Total Subscription, $683m (+18%).
“The fourth quarter was a strong finish to the year for Red Hat. We maintained strong subscription revenue growth in both of our major technology categories during the year, enabling Red Hat to exceed a $3 billion annualized revenue run-rate exiting the year,” says Jim Whitehurst (pictured), President and Chief Executive Officer of Red Hat. “Red Hat continued to expand its position with customers as a trusted adviser and strategic technology partner, enabling initiatives focused on digital transformation and cloud computing. This position helped drive a 50% year-over-year increase in the number of deals over $1 million during the fourth quarter, as we benefited from strong cross selling and high renewal rates within our top deals.”
“We are pleased to deliver 21% revenue growth during fiscal year 2018, up from 18% growth in the prior year. In addition, a strong performance in the fourth quarter enabled the company to exit the year with a total backlog increase of 24% year-over-year. We believe our total backlog, along with continued demand for our technologies, will enable us to deliver strong growth in fiscal year 2019,” says Eric Shander, Executive Vice President and Chief Financial Officer of Red Hat.
