Data security company Rubrik has filed to list on the New York Stock Exchange. The potential IPO would see the company list its shares under the ticker symbol “RBRK.” Rubrik is backed by tech giant Microsoft (MSFT), which has a small stake in the company as it looks to expand its presence in data security.
Yahoo Finance Tech Editor Dan Howley breaks down the details and provides insight into the company's financial performance.
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Editor's note: This article was written by angel smith
video transcript
– Rubrik, another tech company looking to go public, has filed to list on the New York Stock Exchange under the ticker RBRK as an IPO market. It looks like it's regaining momentum. Yahoo Finance's Dan Howley joins us, along with more colleagues. Rubrik, I understand there is a partnership and angle with Microsoft involved.
Dan Howley: Yes, they are supporters of rubrics. Basically, this is a company that values data security. There are several elements of cybersecurity. But they actually seem to care about data security. This means keeping your data safe, whether it's in transit or at rest.
And they explained in their S-1 that the growth of generative AI needs to be part of the data security discussion, and how they can directly use AI in their company's formulas when it comes to overall data security. Here are some things I've said about what I'm doing. But over the past few years, the company's subscription numbers have been growing, and I'll put it here, with 47% year-over-year growth, or subscription annual recurring revenue growth. Last year, the last quarter, the fourth quarter of 2024, we posted $784 million in recurring revenue. However, their losses increased. Last year, it posted a loss of $277.7 million. It posted a net loss of 354.2 million last year.
So obviously they're still growing and expanding. They say a lot of money is currently being spent on advertising. A lot of that has to go into making sure people understand what the company is and why it's essential, especially when it comes to data security. Many believe that cybersecurity can't just be a one-stop shop. There are many companies around the world that are taking initiatives along these lines.
– What kind of ownership is Microsoft talking about here?
Dan Howley: It will be relatively small on a regular basis. It won't be massive. But I think the fact that Microsoft is involved in this means it's somehow going to be involved in Microsoft's position on data security as a whole and cybersecurity as a whole. By the way, they are making serious inroads into that field with their own products.
– Yeah.
Dan Howley: So they have it. But then, just making sure they have all their hands on the various pots and pies going on?
– There are many irons in the fire.
Dan Howley: yes, I have. It's a mixed metaphor. But yeah, I mean ideas – I think I'm just thinking about pie.
– Aren't we all?
Dan Howley: everytime. I think the idea that Microsoft is trying to get more involved in security is really important because Microsoft is regularly criticized for a series of weaknesses in cybersecurity. So I think it's really important for them to push more deals like this.
– Okay, I need to leave it there. Thank you, Dan Howley.
