MongoDB Presentation

Q’4 2021

Submitted by-

Mansi Agarwal
 With increasing revenue and positive bottom line, the Company is
aligned to its strategy
Business overview Revenue breakdown
• MongoDB is a database platform that enables 8000 100%
developers to build and modernize ; applications for
broad range of use cases; can deploy the platform at 7000 80%
scale in the cloud, on-premise, or in a hybrid 6000 60%
environment 40%
• It offers 4 major products - MongoDB Enterprise 5000
20%
Advanced, MongoDB Atlas, Community Server and 4000
professional services to customers, including 0%
consulting and training 3000
-20%
• CEO: Dev Ittycheria 2000 -40%
• Founded: 2007
1000 -60%
• Headquarters: San Francisco (USA); Employees:
~3,500 0 -80%
FY17A FY18A FY19A FY20A FY21A FY22F FY23F FY24F FY25F FY26F
Strategy
Revenue Gross profit margin Operating margin Profit Margin
1 Acquiring New Customers • Revenue: Company’s revenue has been increasing with a CAGR of 40.3% from FY-17 to FY’23 and
expected to grow at a CAGR of 50% from FY22-26, majorly driven by its subscription business and
conversion of short term contracts to long term contracts in upcoming years
2 Expanding Sales Within Our Customer Base • Gross profit: Driven by server cost and other infrastructure, we are able to maintain a gross profit
between 70 to 75%
• We are expected to maintain the same range in the future as subscription cost is directly
3 Driving Usage of MongoDB Atlas proportional to number of customers, hence revenue
• Net Income: After FY’24 we expected to have positive bottom line, attributing to increased focus
on MongoDB Atlas sales and R&D
4 Expanding Internationally
The company is performing good on most of the industry wide
KPIs
Description Leading US public SaaS
average

Magic Number (Change in quarterly ~3.16 1.1

revenue)*4*(S&M spending in
previous quarter)

Rule of 40 ARR growth rate + ~5% ~50%

EBITDA Margin

Net revenue retention Provided by firm 120% 120%

rate

Employee satisfaction Employee NPS 4.7/5 4.2/5

We plan to focus on Atlas in next five years with CAGR of 147% from FY-
22 to FY-26 and increase focus on geographical expansion
MongoDB Atlas is a cash cow and will give higher profits Focus more on geographical expansion for addressing
in future total TAM
Revenue breakdown by products ($M) Revenue breakdown by Geography ($M)
8000 8000
7000 7000
6000 6000
5000
5000
4000
4000
3000
2000 3000
1000 2000
0 1000
FY19A FY20A FY21A FY22F FY23F FY24F FY25F FY26F
0
FY19A FY20A FY21A FY22F FY23F FY24F FY25F FY26F
Atlas Enterprise
Other subscription Services America EMEA Asia Pacific

• MongoDB Atlas is expected to take up the maximum share in upcoming feature • Historically, America’s has been our revenue generating hotspot, but
• Higher demand from the developers since 2020, we have seeing an increased demand from EMEA
• Once, customers moves to Atlas, they are expected to be with us for long • We plan to increase our efforts towards other regions by increasing S&M
term ( ARR expansion rate of 120%) activities in these regions
• Overall Enterprise Advanced share is expected to decrease due to our own • EMEA and Asia Pacific are growing market, hence to cater to TAM, we
cannibalization from MongoDB Atlas need to prioritize on geographical expansion as well
• We plan to focus more on subscription rather than service, as Service cost as a % • Assumption is that we will be EMEA will gain 1.5% of market year on year
of revenue ranges between 95-110%, hence it negatively effects or gross profit
ARPU is expected to increase with major contribution from ATLAS,
as it converts short-term contracts into long terms contracts

ARPU in US$
14000
12000
10000
8000
6000
4000
2000
0
Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4'
19 19 19 19 20 20 20 20 21 21 21 21 22 22 22 22 23 23 23 23 24 24 24 24 25 25 25 25 26 26 26 26

ARPU-Atlas Overall ARPU

• Atlas is a major driver for ARPU

• Shift could be seem from Enterprise Advanced to MongoDB
• Demand for MongoDB is increasing in recent years
• Atlas is able to drive ARPU on increasing trajectory by following
• Increasing number of customers
• MongoDB Atlas is expected to convert short-term customers to long term customers
• The team plans to focus more on R&D and expand its offerings for various use case to increase the demand from untapped customers
Customer acquisition cost is decreasing over time, contributed to more
experienced sales and marketing force and increasing customers

CAC and New customers added

16000 80000
14000 70000
12000 60000
10000 50000
8000 40000
6000 30000
4000 20000
2000 10000
0 0
Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4' Q1' Q2' Q3' Q4'
19 19 19 19 20 20 20 20 21 21 21 21 22 22 22 22 23 23 23 23 24 24 24 24 25 25 25 25 26 26 26 26

New customer added CAC2

• After a sudden demand increase in Q4’19, a consistent growth can be witnessed in addition of new customers
• This growth is sustainable for us, in terms of server capacity and office support
• CAC is expected to experience the decrease attributed to following reasons
• We will by then, will have a experienced workforce, hence more customers per sales person
Operating expense is increasing due to heavy focus on R&D,
increasing sales force but expected to have +ve margin after FY’23

Operating expense
1600 60%
1400 40%
1200
20%
1000
0%
800
-20%
600
-40%
400
200 -60%

0 -80%
FY17A FY18A FY19A FY20A FY21A FY22F FY23F FY24F FY25F FY26F

Sales and marketing Research and development General and administrative Operating Margin

• Overall, Sales and marketing cost is increasing, but positive Operating margin shows that increasing sales force is able to generate higher
revenue and generating cash
• We plan to increase R&D cost to expand the offerings to various customers in MongoDB Atlas
• G&A is not expected to increase, being a Saas based firm we will be able to scale.
Key takeaways
1 2 3 4

Business Acquiring New Expanding Sales Within Driving Usage of Expanding

objective Customers Our Customer Base MongoDB Atlas Internationally

Actions • Increasing S&M cost • Spending in R&D to • Increase server • Focus on EMEA and
taken / – hiring and training increase the offering capacity Asia pacific region
planned sales people • Business model itself • Expanding TAM by • Part of S&M will be
• Better incentive plans supports this developing more spend here
for sales people • Short term customers features for
are demanding customers
increased services