Tableau’s shift to a subscription software model is paying off for the Seattle data analysis company, which saw revenue increase 14 percent compared to the previous year during its second quarter of the year.
Earnings statements are always somewhat complicated, but Tableau’s is particularly so this year thanks to the impact of new financial regulations that took effect on January 1st. Under the new rules, Tableau reported $282 million in revenue, but if you applied the old rules, revenue would have been $244 million. That number was ahead of company guidance as well as analyst expectations of $236 million in revenue.
The new rules dictate that Tableau reported a net loss of $0.15 a share, much better than the $0.72 a share loss it would have incurred under the old rules. But once you exclude special one-time charges and other items, Tableau broke even under the old rules, which was well ahead of analyst expectations for a net loss of $0.11.
Subscription customers now make up 67 percent of Tableau’s business, said Adam Selipsky, Tableau CEO, on an conference call with financial analysts following the release of the company’s results. That’s been a big part of the rise in the company’s stock over the past year, nearing its all-time high set in 2015.