Slack has unveiled generally positive financial results for the first quarter of 2019, revealing a loss of $31.9m, up 28% from the previous year, on a revenue of $134.8m, demonstrating a growth of 67% during the period. Its significant revenue growth is down to a 42% increase in paying customers to 95,000, as of April 30.
The results demonstrate that the company has started off the year in good standing and is set to be in a much stronger place financially this fiscal year than the previous year ending on January 31 2019, when Slack revealed a revenue of $400.55m for the whole year.
As it holds more than $1.1bn in total assets, the professional messaging startup plans to go public with a direct listing on the New York Stock Exchange on June20 rather than trying to raise money through an IPO, mirroring Spotify's approach last year. This will allow shareholders who want to trade their shares to put them on the market freely.
Slack also revealed in its filing that its shares have been privately trading for between $21–$31.50 a share from February 1 to May 30, with the average price per share landing at around $26.38.
While the firm is still incurring significant losses, they are noticeably lower than the other tech unicorns that have chosen this year to go to IPO. Uber's much-anticipated IPO has had a rocky start, as it reported a net loss of $1.1bn for 1Q19, while Lyft revealed losses of $911m in its IPO prospectus and has since experienced fluctuating share prices.