SecureWorks Corp. (NASDAQ:SCWX) Q4 2024 Earnings Conference Call March 14, 2024 8:00 AM ET

Company Participants

Kevin Toomey - VP, IR

Wendy Thomas - CEO

Alpana Wegner - CFO

Conference Call Participants

Saket Kalia - Barclays Bank

Michael Cikos - Needham & Company

Hamza Fodderwala - Morgan Stanley

Madeline Brooks - Bank of America Securities

Operator

Good morning. My name is Candace, and I'll be your conference operator today. At this time, I would like to welcome everyone to the SecureWorks Fourth Quarter and Full Year Fiscal 2024 Financial Results Conference Call. All lines have been placed on mute to prevent any background noise and 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]. At this time, I would like to turn the conference over to Kevin Toomey, SecureWorks' Vice President of Investor Relations. Mr. Toomey, you may begin your conference.

Kevin Toomey

Thank you, operator. Good morning and welcome to SecureWorks' fourth quarter and full year 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 measures in the press release and presentation posted on our 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. Our Taegis business continued its strong momentum in fiscal 2024. Taegis revenue grew 41% year-over-year with full year revenue reaching 265 million. Taegis annual recurring revenue or ARR now stands at 285 million representing 9% growth over last year. We are well on track for completing our business transformation with Taegis ARR reaching 96% of our total ARR at year-end. Today we are less than 60 days away from a significant positive milestone. The end of life of our non-strategic lines of business and our Q4 attainment of positive EBITDA was another major milestone as we over delivered against our plans on our path to profitability.