Network Modeling and Risk Scoring Company More Than Doubles Q4 Revenue
as Demand for Digital Resiliency Increases
SUNNYVALE, Calif. — RedSeal (redseal.net), the leader in network modeling and cyber risk scoring, today announced its 2016 bookings were up 45 percent compared to the previous year, and the company was cash flow positive nearly $5 million in the fourth quarter alone.
Demand for RedSeal’s network modeling and risk scoring platform is steadily growing as security teams seek to combat cyber attacks by gaining a comprehensive understanding of network security across their datacenter, cloud, and software-defined networks.
“It’s not a question of if an organization will suffer a security breach, but when,” said Ray Rothrock, CEO of RedSeal. “That’s why digital resiliency has become a critical part of any effective cyber defense strategy. To minimize harm and loss, organizations must be able to operate through impairment and rebound quickly. To do that, they need a network modeling and risk scoring platform that puts decision-making power right in their hands.”
Highlights of RedSeal’s fourth quarter performance include a 113% overall increase in bookings, a 25% jump in commercial bookings, and a 105% increase in revenue over the same period in 2015. New business in the fourth quarter was up 139% and expansions increased by 123% compared to Q4 of 2015. This includes the close of a $31 million multi-year contract—the largest subscription deal in its history. Additionally, gross margins climbed to 86% in fiscal year 2016, up from 77% the previous year.
RedSeal’s proven network modeling and risk scoring platform has been implemented by over 40 government agencies and hundreds of commercial enterprises. Overall, RedSeal acquired 52 new customers in 2016 from across government agencies and commercial sectors, including a range of technology, professional services, retail, and financial services companies.
One of the newest customers is the Defense Information Systems Agency (DISA), which signed a multi-year license for RedSeal’s network modeling and risk scoring platform. DISA is providing RedSeal’s platform to all U.S. Army networks, USAF boundaries networks, and several other DISA networks. The contract is a strong reflection of RedSeal’s ability to streamline the efforts of security teams and further improve network security via the company’s market leading network modeling and risk scoring platform.
On the international front, RedSeal grew its global presence in 2016, opening new offices in Japan and Canada, and accelerating its traction around the world. Overall, the company has increased headcount by 43% percent since the beginning of 2016.
The momentum continued as RedSeal rounded out its management team in 2016 with the addition of Julie Parrish as Chief Marketing Officer and Nash Kapoor as Regional Vice President for EMEA. Parrish is leading the company’s global effort to position RedSeal as the thought leader in digital resilience and further drive demand for the company’s network modeling and risk scoring platform. Kapoor brings over 15 year of experience as an IT sales professional and manager to RedSeal with a proven track record of overachievement in new business sales. His tenure includes roles at IKON, Dell, Symantec, and most recently Varonis.
RedSeal’s network modeling and risk scoring platform is the foundation for enabling enterprise networks to be resilient to cyber events and network interruptions in an increasingly digital world. RedSeal helps customers understand their network from the inside, out – and provides actionable intelligence, situational awareness and a Digital Resilience Score to help enterprises measure and ultimately build greater resilience into their infrastructure. Government agencies and Global 2000 companies around the world rely on RedSeal to help them improve their overall security posture, accelerate incident response and increase the productivity of their security and network teams. Founded in 2004, RedSeal is headquartered in Sunnyvale, California and serves customers globally through a direct and channel partner network.