Domo, the secretive Utah based provider of SaaS business intelligence solutions, has raised $125MM in a Series C funding led by TPG Growth. The new round brings its total funding to $250MM. The post-money valuation is reported at $825MM, which is a 175% increase from the prior round of $300MM. Salesforce.com, T. Rowe Price, Fidelity Investments, Morgan Stanley, Viking Ventures and Dragoneer Investment Group also participated, as did previous investors GGV Capital, Greylock Partners, IVP and Mercato Partners. Previous backers have included Bezos Expeditions, the personal investment company of Jeff Bezos; CEOs of Workday Aneel Bhusri and David Duffield; Founders Fund, Sorenson Capital, Benchmark Capital, Andreessen Horowitz, SV Angel, Marc Benioff, WPP, SuccessFactors founder and a16z founder Lars Darlgaard and Hummer Winblad. Allen & Company advised the Company.
CEO Josh James on the new funding,
“We spent our first two years developing a product to change the face of enterprise software and to change the speed of business,” said James. “Over the last year, we built up our leadership team and have created a solid foundation for sales and marketing. We’ve been closing deals at an unprecedented rate and our reps are regularly blowing past quota. This additional capital will enable us to further expand sales as quickly as possible and will ensure that we can achieve our goals in an incredibly profound way.”
Regarding the secretive nature of not only its investors but product, James believes that other companies in the analytics and BI space could imitate what Domo is doing. So he’s fine with staying quiet until the Company reaches scale. He anticipates more details about the product to be released in the next 12 months.
“We’re not really doing BI. It’s really a platform to manage your business, and, you know, see data and combine data from so many different sources in a way that’s really intuitive …”
Stealth mode hasn’t stopped the Company from gaining significant traction. Domo is growing revenue 100% year over year, and experiencing sequential quarterly sales growth between 25-40%. Its customer base reaches ~500 ranging from the Fortune 500 to small businesses. Contracts are typically worth multiple hundreds of thousands of dollars while retention rates are at 98%.
James, who also founded the web analytics SaaS business Omniture that went public and was sold to Adobe in 2009 for $1.8Bn, says an IPO is 2-3 years away, but with regards to his new investors he had this to say,
“At Omniture, I learned the importance of building relationships with public investors as a private company. With an eye towards becoming a public company, it’s rewarding that we were able to achieve this objective and attract the best of the best.”
Other cloud based BI competitors include Good Data, Birst, BIME Analytics, and others. Domo currently has 300 employees.