Billing Startup Zuora Signs Over $1 Billion In Subscription Revenue In Q1
We’ve written about Zuora, a SaaS startup that offers online services to manage and automate customer subscriptions and payments, and its impressive backing. Today the company has reached a new milestone; Zuora has signed over $1 billion in contracted subscription revenue in the first quarter of its new fiscal year, which ended April 30.
Zuora’s cloud-based billings platform aims to alleviate the need for online businesses to develop their own billing systems, especially to handle recurring payments like those associated with subscriptions. The company says that its growth in revenue, bookings and cashflow is thanks to the shift to the “Subscription Economy” in both the consumer and enterprise world.
Zuora also saw a 102% growth in revenue, a 127% growth in organic cash flow and was cash flow positive for the quarters. Clients using Zuora’s service include Rearden Commerce, Pandora Media, ReputationDefender and HDCloud.
Last year, Zuora extended its platform to Facebook apps, app developers charge recurring monthly subscriptions for their apps or premium features.
While Zuora isn’t revealing exact revenue numbers, this seems like strong growth for a company that was launched a few years ago. And as cloud-based SaaS pick up amongst enterprise users, it’s unsurprising that Zuroa’s clientele is expanding.
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I think you should clarify that this is not $1 billion in revenue, it is $1 billion in customer billing managed by Zuora. Their revenue is a tiny fraction of that. Still, it is an impressive number. I remember talking to them a few years ago when they only had a couple of customers testing the service.
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Congrats to Zuora team! Cash-flow positive in particular is terrific
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WOW- thats a lot ..I am not sure how true that amount is ? Is that the amount n revnue for the startup or is it the transaction through their service.
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