Hortonworks' Q3 Results Reflect Ongoing Welcome for Hadoop
Hortonworks, which focuses on the open source Big Data platform Hadoop, has steadily been cementing its reputation as a leader in the Hadoop arena. The company's third quarter results are now reported, and they provide a window on the momentum that Hortonworks now has.
In particular, its operating billings grew 66 percent year-over-year. Let's be sure to note that Red Hat and other companies focused on commercial strategies built on open source tools have focused on steadily growing operating billings. Here are some of the product and financial highlights from the Q3 report.
Total GAAP revenue was $47.5 million for the third quarter of 2016, an increase of 47 percent compared to the third quarter of 2015--nothing to shake a stick at. Total GAAP gross profit was $27.7 million for the third quarter of 2016, compared to gross profit of $17.5 million for the same period last year, also showing healthy growth at Hortonworks.
"Q3 was a milestone quarter for Hortonworks. We crossed the 1,000 customer count and our operating billings grew 66% year-over-year," said Rob Bearden, chief executive officer and chairman of the board of directors of Hortonworks. "Customers in 60 countries have selected our connected data platforms to leverage a comprehensive data management strategy spanning on-premise, hybrid and public cloud environments. As we continue to work within the Apache Software Foundation to enhance the value to our customers, we are looking forward to future achievements in product functionality and the benefits to be derived from our industry leading solutions."
The company also reported a slew of updates and metrics related to its product offerings, including these:
Hortonworks DataFlow 2.0 Delivers Enterprise Productivity and Streaming Analytics – In July, we announced the next generation of Hortonworks DataFlow (HDF™) version 2.0 for enterprise productivity and streaming analytics. HDF is an integrated system for dataflow management and streaming analytics to quickly collect, curate, analyze and deliver insights in real-time, on-premises or in the cloud. With HDF, customers get an easy-to-use enterprise-ready platform to manage data in motion anywhere and in any environment. HDF 2.0 includes the following new functionalities: Next-Generation User Experience, Enterprise Readiness, and IoT at the Edge.
Munich Re Achieves Strategic Big Data Platform with SAS and Hortonworks – In August, Munich Re Group, the world's largest reinsurer, announced that it is leveraging SAS Analytics and the Hortonworks Data Platform (HDP™) for its big data initiative.
Prescient Chooses Hortonworks to Make Travel Safer with Connected Data Platforms – In August, we announced that Prescient Traveler, LLC ("Prescient") has adopted our connected data platforms, utilizing both HDP and HDF to redefine the traveler risk management market. We are helping Prescient process 19,000 location updates per second to keep travelers aware of and safe from physical, health-related and environmental threats.
Hortonworks, IBM Collaborate to Offer Source Distribution on Power Systems – In September, in a partnership with IBM, we announced the planned availability of HDP for IBM Power Systems enabling POWER8 clients to support a broad range of new applications while enriching existing ones with additional data sources. HDP will complement the performance of Power Systems by allowing clients to quickly gain business insights from their structured and unstructured data.
Hortonworks Tightens Focus on the Cloud with Connected Data Architecture – In September, we showcased our latest technology solutions for streaming analytics, security, governance, and Apache Spark at scale at Strata + Hadoop World. As customers increasingly look to deploy cloud-based solutions, our connected data architectures and mission-critical security, governance, and data access innovations provide unparalleled integration across multiple clouds and the data center.
Hortonworks Accelerates Cloud Innovation for Customers with Microsoft Azure HDInsight – In September, we announced updates to the Microsoft Azure HDInsight Hadoop Cloud solution. As part of our collaboration with Microsoft Corporation, these updates will allow customers to achieve big data query speeds that approach data warehousing performance, provide a highly secure Hadoop solution in the cloud, and allow for an easier experience for administrators to spin up third-party ISV applications.
Lenovo Chooses Hortonworks Data Platform for Actionable Intelligence – In October, we announced that Lenovo Group Ltd. ("Lenovo"), a multinational technology company, is using HDP to manage its robust big data analytics platform, as well as our professional services to provide expert global support. Lenovo's Global Business Intelligence team developed a hybrid cloud-based platform, Lenovo Unified Customer Intelligence (LUCI Sky), which has scaled to over a petabyte of data in just a few years' time. This analytics platform, powered by HDP, delivers actionable insights from a myriad of global sources in a matter of seconds.
Webtrends Chooses Hortonworks to Power Its Connected Data Architecture – In October, we announced that Webtrends Inc. ("Webtrends"), a leading provider of data, analytics, and optimization solutions, is using HDP and HDF as the foundation of its connected data architecture, both in the data center and in the cloud. With connected data platforms, Webtrends transformed its business by storing, processing and analyzing data to uncover insights into consumers and their behaviors, which are invaluable to global brands.
Recruit Technologies Deploys Hortonworks Data Platform for Analytics – In October, we announced that Recruit Technologies Co., Ltd. ("Recruit Technologies") has selected HDP for its data analytics platform. As a strategic partner, we will offer connected data platform expertise on collecting, accumulating and analyzing big data to support Recruit Technologies' mission to develop and implement its business in a highly competitive IT environment. Recruit Technologies' Internet marketing platform powered by HDP will meet the future needs of its customers.
Hortonworks Data Platform to Provide Data Analytics for LIXIL – In October, we announced that LIXIL Corporation ("LIXIL") has selected HDP as its data analytics platform. By deploying HDP, LIXIL will offer cutting-edge technology and quality support through the connected data platforms that serve as its foundation for data management.
The latest in a string of market research reports has also arrived forecasting huge growth for Hadoop itself. According to researchers at Stratistics MRC, the global hadoop market is expected to grow at a CAGR of 53.7% over the forecast period leading to 2022. "Increasing investments in data management, rising amount of structured and unstructured data, hasty growth in consumer data and rapidly increasing demand for big data analytics are the factors influencing the market growth," the study's authors report.