This morning, well-known Robotic Process Automation (RPA) unicorn UiPath has filed to go public.
The company’s S-1 comes after the filing, when it privately raised billions of dollars, making it the highest-funded startup in history. For the past year, for example, the company’s rapid fundraising included its Series E and Series F rounds of capital, both of which came within the last 12 months.
UiPath’s filing details a rapidly growing company. From its fiscal year ending January 31, 2020 to January 31, 2021, UiPaths revenue grew from $ 336.2 million to $ 607.6 million, an increase of just 81%. That top-line expansion brought it in with GAAP net income –$ 519.9 million in its year ending 2020 and $ 94.7 million in the year ended 31 January 2021.
UiPath was privately valued at $ 10.2 billion in mid-2020 and $ 35 billion in early 2021.
For the company’s 27 known investors, the IPO filing is an important moment. If the UIPath can defend its rich private valuation, then its IPO can be seen as a success. However, investors in that last round – Alken Capital and Kotyu, investors who led its series E – want to appreciate its market value.
It can be seen if the UIPath can reach a public valuation of more than $ 35 billion.
After a very expensive fiscal year ending on January 31, 2020, the company’s financial growth presents a picture of a high-growth company that has seen UIPath’s sales and marketing costs, its research and development expenses, and even Cut his general and administrative expenses. Budget in its most recent fiscal year. The result is that its gross profit is reduced on a low cost basis. And the result of that was dramatically improved profitability, and cash generation.
As the S-1 note: “[UiPath’s] Operating cash flows in the fiscal years ended January 31, 2020 and 2021 were $ (359.4) million and $ 29.2 million and our free cash flow was $ (380.4) million and $ 26.0 million. ” This is a major change, perhaps even more impressive than the improvement in the company’s GAAP net margin.
There is more to come from the UIPath, namely a dive in its quarterly results, which the company says will come in “revisions” [its] Prospectus. “
All told, UiPath’s most recent fiscal year marks a content operations leverage – something that not every software company makes public.