Slack Posts $134.8 Million in Q1 Revenue Ahead of Direct Listing
Slack reveals a 67% revenue increase in its first quarter as it prepares for a June 20 direct listing on the NYSE. The workplace messaging giant reports growing sales alongside ongoing losses ahead of its public debut.
Workplace messaging giant Slack files an amended S-1 document with the U.S. Securities and Exchange Commission just weeks before its expected direct listing on June 20. The updated filing shows first-quarter revenues of $134.8 million, which represents a 67% increase from the same period last year. Despite this significant revenue growth, the company posts a net loss of $31.8 million for the quarter.
For the full fiscal year ending January 31, 2019, Slack reports an annual loss of $138.9 million on total revenue of $400.6 million. This annual revenue nearly doubles the previous year's $220.5 million, while the overall net loss remains relatively flat compared to the prior year's $140.1 million deficit. These figures highlight the company's rapid top-line expansion as it approaches the public markets.
Instead of a traditional initial public offering, Slack pursues a direct listing on the New York Stock Exchange under the ticker symbol "WORK." This alternative method allows the $7 billion company to list existing shares held by insiders and investors without issuing new stock or paying hefty Wall Street IPO fees. The business follows a path previously taken by Spotify, bypassing the traditional roadshow process entirely.