While the contribution of SNOW software (completed in February 2024) will enable Flexera to report revenue growth of over 40% in 2024, we anticipate that Flexera?s growth will return to the mid-single digits going forward. The company reported 4% and 5% growth in the first two quarters of 2024, driven by increases in new bookings and recurring revenues (cloud, subscription, and recurring licenses), supported by the ongoing small and midsize business customers shifting to cloud computing and increasing demands for software compliance and cost optimization. This is partially offset by declines in maintenance revenue, attributed to the transition from perpetual to term-based licenses. As of the June 2024 quarter, Flexera is nearing completion of this transition, with recurring revenues representing
