Hortonworks: Woo! We're breakeven – just don't focus on the $46m operating losses

CEO stresses biz is more than just a Hadoop-flinger now

By Rebecca Hill

Posted in Business, 9th February 2018 15:01 GMT

Data biz Hortonworks shaved $50m off its operating losses in 2017, describing the year as "pivotal", as it continues efforts to rebrand itself as more than just Hadoop.

In the quarter ended December 31, and four years since going public, Hortonworks pulled in revenue of $75m and had operating losses of $45.8m – but for the first time broke even on cash flow.

The biz has been criticised for burning through cash and urged to get its spending under control – so the positive operating cashflow figure of $6.4m will be a relief to bosses.

But it still splurged some $29.8m operating cash in 2017 – down from $82.4m in 2016 – and had full-year operating losses of $198.8m, down from $251.2m.

Revenues continued to rise, reaching $75m in Q4 2017, and $261.8m for the full year – respective increases of 44 per cent and 42 per cent year-on-year. The biz also announced a boost in $1m-plus deals – 20 in Q4 2017, up from 9 in Q4 2016.

It is also claiming success in its progress towards its target of reaching 80 per cent of revenues coming from subscriptions. In Q4 the figure was 77 per cent, which represented $57.8m.

Behind the figures, though, the company is at pains to emphasise it isn't just about Hadoop anymore. CEO Rob Bearden said on the earnings call that the biz had evolved to a "global data management platform company".

The push is driven by an increase in established players like Microsoft offering more Hadoop-like services, and companies considering do-it-yourself options given it's an open-source tech. As Gartner analyst Merv Adrian put it:

However, in response to a question about the threat of mega-scale cloud vendors undercutting Hortonworks, CTO Scott Gnau said it was "an opportunity".

He said these vendors "creates more data and enables more experimentation and learning", adding that there was value in hybrid solutions. "It's not just about all cloud or one cloud," he said. ®

Sign up to our NewsletterGet IT in your inbox daily

2 Comments

More from The Register

Data-slurping keyboard app makes Mongo mistake with user data

Ai.type leaves wealth of personal info open to all

Dell soups up low-end Data Domain deduper

Refreshes SMB-sized deduping backup-to-disk box

Canada charges chap alleged to run stolen data-mart Leakedsource

Unlike similar services, this one sold purloined passwords

Data centre mergers and acquisitions hit $20bn in 2017 feeding frenzy

All-time high for industry

Apple hands Chinese iCloud to Guizhou-Cloud Big Data Industry

Doing business in China means keeping everything in Chinese hands behind the great firewall

UK worker who sold customers' data to nuisance callers must cough up £1k

Thousands of personal details taken unlawfully, court finds

Microsoft whips out tool so you can measure Windows 10's data-slurping creepiness

Diagnostic Data Viewer gives users a peek into what Redmond gathers from your PC

Bright Sparks: Databricks emits system to sort out ‘data mess’

Data-nom from stream, lake and warehouse, they chirp

Cisco sells data virtualization unit to Tibco

Bought in 2013, disposed of in 2017 due to misalignment with 'long-term focus'

Data scientist wanted: Must have Python, spontaneity not required

Review of job ads pins average salary at £47k