Israeli startup JFrog, which develops platforms for managing and distributing software bundles and updates, has officially filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission relating to a proposed NASDAQ Initial Public Offering. The prospectus revealed the financial state of the company, however, didn’t note the company’s market value. Previously, the company fundraised based on an evaluation of over $1.5 billion.
50% growth compared to last year
JFrog disclosed in the registration statement that it plans to go public next month, led by Morgan Stanley, JP Morgan, and BofA Securities. The prospectus shows that over the past year the company brought in close to $105 million in revenue, showing a 65% growth rate, compared to only $63.5 million in 2018.
The company further compared its revenue from the first six months of 2019 - $46 million - to the first six months of 2020 - $69 million - which points to a 50% increase in total revenue over those periods.
JFrog’s prospectus didn’t show the company’s profits, though it did reveal that the company’s losses have decreased over the last few years: In 2018 totaled $26 million, 2019 saw a significant drop in losses totaling $5.4 million, and H1 2020 stood on only about $400k so far.
JFrog further noted that it had raised $162 million to date (while both Pitchbook and the media reported almost $230 million in total funding) and that it currently has $170 million in the bank. In addition, the company shows a positive cash flow: $6.5 million in 2018, $8.2 million in 2019, and $4.4 million in the first half of 2020. Furthermore, the prospectus reveals secondary deals, where company employees sold their options, bringing in an additional $74 million.
JFrog was founded in 2008 by CEO Shlomi Ben-Haim, CTO Yoav Landman, and Chief Data Scientist Fred Simon. The company’s founding bigwigs hold a combined 24.3% of shares - Yoav Landman has 9.8%, Fred Simon holds 7.4%, and Shlomi Ben Haim holds 7.1%. Gemini Ventures holds 15.8% of stocks, Scale Venture Partners has 10.8%, Sapphire 9.9%, Insight Partners 9.8%, and Qumra Capital 5.2%.