26% Growth Y/Y in 2Q21 for Veeam Annual Recurring Revenue

Veeam Software, Inc. announced another quarter of double-digit growth with an annual recurring revenue (ARR) increase of 26% Y/Y for 2Q21.

It delivered more than 20 new product releases including enterprise-grade feature updates over the last 18 months and several major releases in 1H21 – Veeam Backup for Google Cloud Platform and Veeam Backup & Replication v11. With no plans of slowing down its momentum, Veeam is preparing to release innovations of cloud-native solutions for AWS, Microsoft Azure, Google Cloud, Microsoft Office 365 and the first integration of Kasten K10 for Kubernetes into the Veeam Platform in 2H21.

“Now, more than ever, especially as ransomware attacks increase, data is the lifeblood of organizations. The need for Modern Data Protection to achieve operational objectives and BC is fueling the demand for Veeam’s industry-leading solutions,” said William H. Largent, CEO and COB. “2Q21 isn’t just another quarter of growth for Veeam; as our fourteenth consecutive quarter of double-digit growth, it represents unrivaled results, especially during such an unstable global environment. Veeam is continuing to thrive and grow, and our commitment to deliver simple, flexible, reliable and powerful data management and protection solutions to our 400,000+ customers is unwavering.”

2Q21 Highlights
• Released as an advanced data protection solution for cloud, virtual, Pphysical, SaaS and Kubernetes workloads, Backup & Replication v11 and has been downloaded by more than 220,000 users since its launch in 1Q21. It provides ransomware protection with multiple immutable storage options, policy-driven data lifecycle management, as well as CDP, further reducing downtime and data loss for all workloads on premises and in the cloud with AWS, Azure and Google.
• Veeam Backup for Microsoft Office 365 reported 58% growth Y/Y in 2Q21, with the product being downloaded 189,000 times with 6.6 million users under paid contract.
• The firm continues to release new features and enhancements for enterprise environments, which has resulted in +195% bookings growth Y/Y in transactions of more than $1 million.
• It closed the largest AWS deal in its history in 2Q21, as growth of cloud-native backup solutions (AWS, Microsoft Azure, Google Cloud) continues to accelerate.
• Its technology alliance resell agreements with Hewlett Packard Enterprise, Cisco, NetApp, and Lenovo reported 27% growth Y/Y.
• Veeam Universal License (VUL), a portable license that offers a simple, flexible “per workload” subscription license for protecting all workloads across on-premises, hybrid and multi-cloud environments, accounted for nearly 3/4 of new core transactions in 2Q21 with 62% growth Y/Y.
• The company now counts 82% of the Fortune 500 and 69% of the Global 2000 as customers. New 2Q21 advocates include Staples Solutions, ABB Croatia, Baumit GmbH, City of New Orleans, Global Data Vault, Ituran, Morehouse School of Medicine, New Belgium Brewing Company, NewCytech, Ruhr University Bochum, Shamir Medical Center and 63 Moons Technologies Ltd.
• In June, Veeam announced the launch of a federal government-focused subsidiary, Veeam Government Solutions, Inc. (VGS). Headquartered in Washington DC and 100% US-owned and managed, that brings a comprehensive portfolio of trusted data protection software solutions that are independently verified and validated by US federal government-trusted, US-based third-party agencies.
• In the recently released 2021 Magic Quadrant for Enterprise Backup and Recovery Solutions (1), Gartner named Veeam as an industry leader for the 5th consecutive time and positioned the company highest overall in ability to execute 2 years in a row.

“Veeam has continued revenue and ARR growth throughout the past year with its strongest results in 2Q21 during that time. Veeam has put out a significant number of new enhancements over the past year, including a major update to their flagship product, Veeam Backup & Replication v11. Their ability to address emerging and changing market requirements has contributed to their global growth and their impact on the enterprise market,” said Phil Goodwin, research VP, IDC.

“ABB is a global technology leader that has been a Fortune 500 company for many years. A key component of this success is innovation, in which data protection and IT resiliency is essential to providing the business with enterprise applications and infrastructure services, such as robotics and discrete automation systems. By partnering with Veeam, the power, simplicity and flexibility of its platform mean that our regional operations led by Croatia have a world-class DR solution across our remote sites, enhanced NAS backup features and accelerated performance with NetApp storage snapshots, while avoiding hardware lock-in,” said, Josip Smojver, systems engineer, ABB Croatia.

“Veeam provides excellent data protection. Everyone who was part of the ransomware recovery process is breathing a big sigh of relief,” Kimberly LaGrue, CIO, City of New Orleans.

“Our data is protected and available because of Veeam, which helps keep beer production and distribution on track and on time. Veeam also puts our backups to work so we can extract better predictive analytics from our data and determine what beers will sell best in a particular place,” said Adam Little, senior systems administrator, New Belgium Brewing Company.

(1) Gartner, Magic Quadrant for Enterprise Backup and Recovery Solutions, Santhosh Rao, Nik Simpson, Michael Hoeck, Jerry Rozeman, July 19, 2021.