SecureWorks Corp. (NASDAQ:SCWX) Q2 2024 Earnings Conference Call September 7, 2023 8:00 AM ET

Company Participants

Kevin Toomey - VP, IR

Wendy Thomas - CEO

Alpana Wegner - CFO

Conference Call Participants

Mike Cikos - Needham

Hamza Fodderwala - Morgan Stanley

Operator

Good morning. My name is Prika and I will be your conference operator today. At this time, I would like to welcome everyone to the SecureWorks' Second Quarter Fiscal 2024 Financial Results Conference Call. All lines have been placed on mute to prevent any background noise. A supplemental slide presentation to accompany the prepared remarks can be found on the company's website. After the speakers' remarks, there will be a question-and-answer session. [Operator Instructions] Thank you.

At this time, I would like to turn the call over to Kevin Toomey, SecureWorks' Vice President of Investor Relations. So, Mr. Toomey, you may begin your conference.

Kevin Toomey

Thank you, operator. Good morning and welcome to SecureWorks' second quarter fiscal 2024 earnings call. Joining me today are Wendy Thomas, our Chief Executive Officer; and Alpana Wegner, our Chief Financial Officer.

During this call, unless otherwise indicated, we will reference non-GAAP financial measures. You will find the reconciliations between these GAAP and non-GAAP financial measures in the press release and presentation posted on the website earlier today. Finally, I'd like to remind you that all statements made during this call that relate to future results and events are forward-looking statements based on current expectations. Actual results and events could differ materially from those projected due to a number of risks and uncertainties, which are discussed in our press release, web deck, and SEC filings, which you can also find on the Investor Relations website at investors.secureworks.com. We assume no obligation to update our forward-looking statements.

With that, I'll turn the call over to SecureWorks CEO, Wendy Thomas.

Wendy Thomas

Thank you, Kevin, and welcome, everyone

I'm pleased to share that we delivered on our financial commitments in the second quarter and executed on several key strategic milestones. We also took actions to align our cost structure to our go-forward SaaS business, laying the foundations for profitability in fiscal '25.

Taegis annual recurring revenue or ARR was $276 million at the end of the second quarter. And Taegis revenue grew 55% year-over-year to $66 million in the quarter. To put those numbers into context, that puts us in the top three in terms of global market share for managed detection and response, out of more than 50 tracked companies as published by Gartner.