- Slack Technologies’s second-quarter revenue topped expectations by nearly $7 million, to $215.9 million, a 49% growth year-over-year;
- As the market for remote work expands, many players like Zoom, Google and Microsoft Teams are looking to capture a larger share of it;
- Slack, once dubbed the “e-mail killer”, added 8,000 new customers in the second quarter, lower than the 12,000 users it added in the first.
Slack Technologies’s second-quarter revenue topped expectations by nearly $7 million, to $215.9 million, a 49% growth year-over-year. But the results were offset by slowing quarterly billing growth and the addition of fewer paid customers to its workplace messaging platform, hurt by strong competition in the work-from-home market.
As the market for remote work expands, many players like Zoom, Google Meet and Microsoft Teams are looking to capture a larger share of it.
The company also said it offered credits, payment in installments and billing duration of less than a year to help users tide over the economic downturn triggered by the health crisis.
This has further pressured Slack that has flagged slowing demand from worst-affected industries like retail and travel, prompting it to withdraw its full-year billings target earlier this year.
The platform, once dubbed the “e-mail killer”, said it added 8,000 new customers in the second quarter, lower than the 12,000 users it added in the first.
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Slack also posted a 25% rise in second-quarter billings, falling short of the 38% growth it posted in the first quarter. Billings are an important metric for growth for a subscription-based platform like Slack.
