Benzinga | Oct 28, 2020 06:38AM EDT

Dynatrace Sees Q3 Adj. EPS $0.12-$0.13 vs $0.13 Est., Sales $171M-$173M vs $164.88M Est.; Sees FY21 Adj. EPS $0.55-$0.57 vs $0.48 Est., Sales $668M-$675M vs $654.73M Est.

Financial Outlook

Based on information available, as of October 28, 2020, Dynatrace is issuing guidance for the third quarter and raising full year fiscal 2021 as follows:

Third Quarter of Fiscal Year 2021

* Total revenue is expected to be in the range of $171.0 million to $173.0 million, 19% to 21% growth as reported, and 18% to 20% on a constant currency basis

* Subscription revenue is expected to be in the range of $160.5 million to $162.0 million, 25% to 26% growth as reported, 24% to 25% on a constant currency basis

* Non-GAAP operating income is expected to be in the range of $43.0 million to $45.0 million

* Non-GAAP net income is expected to be in the range of $36.0 million to $38.5 million

* Non-GAAP net income per diluted share is expected to be in the range of $0.12 to $0.13, based on a range of 289 million to 290 million diluted weighted-average shares outstanding

Full Year Fiscal 2021

* Total revenue is expected to be in the range of $668.0 million to $675.0 million, 22% to 24% growth as reported and on a constant currency basis

* Subscription revenue is expected to be in the range of $624.0 million to $630.0 million, 28% to 29% growth as reported and on a constant currency basis

* Total ARR is expected to be in the range of $721.0 million to $727.0 million, 26% to 27% growth as reported, and 25% to 26% on a constant currency basis

* Non-GAAP operating income is expected to be in the range of $186.0 million to $191.0 million

* Non-GAAP net income is expected to be in the range of $158.0 million to $164.0 million

* Non-GAAP net income per diluted share is expected to be in the range of $0.55 to $0.57, based on a range of 288 million to 290 million diluted weighted-average shares outstanding

* Total unlevered free cash flow is expected to be in the range of $192.0 million to $200.0 million, 29% to 30% of revenue