Backblaze, Inc. Q4 2024 Earnings Conference Call: Insights and Analysis
On February 25, 2025, Backblaze, Inc. (NASDAQ: BLZE) held its Q4 2024 earnings conference call. The call was led by Mimi Kong, Senior Director of Investor Relations and Corporate Development, Gleb Budman, Chairman and Chief Executive Officer, and Marc Suidan, Chief Financial Officer. Participating analysts included Jeff Van Rhee from Craig-Hallum Capital Group, Ittai Kidron from Oppenheimer & Co., Inc., Simon Leopold from Raymond James & Associates, Inc., Jason Ader from William Blair & Company, and Maxwell Michaelis from Lake Street Capital Markets, with Ethan Widell from B. Riley Securities also in attendance.
Financial Highlights
During the call, Backblaze reported Q4 revenues of $105.5 million, up 16% year-over-year, and a net loss of $3.2 million. The company attributed the revenue growth to increased demand for its cloud storage solutions, particularly in the enterprise sector. For the full year 2024, Backblaze reported revenues of $385.7 million, up 21% year-over-year.
Business Updates
Backblaze also provided updates on several business initiatives. The company announced the launch of its new B2 Fireball hard drives, which offer faster transfer speeds and improved reliability. Backblaze also discussed its partnership with Amazon Web Services (AWS) to provide backup solutions for AWS customers. Additionally, the company reported that it had surpassed 500 petabytes of data under management, up from 300 petabytes at the end of 2023.
Analyst Questions and Management Responses
During the Q&A session, analysts asked several questions about Backblaze’s business and future plans. Here are some highlights:
- Jeff Van Rhee: Can you discuss the drivers of the revenue growth in Q4?
- Ittai Kidron: How is the partnership with AWS going?
- Simon Leopold: Can you discuss your pricing strategy?
Gleb Budman: We saw strong demand from our enterprise customers, particularly in the media and entertainment industry. We also saw continued growth in our consumer business.
Marc Suidan: The partnership has been very successful. We’ve seen significant interest from AWS customers for our backup solutions, and we’re continuing to invest in integrations and features to make our solution even more valuable for AWS users.
Gleb Budman: Our pricing is simple and transparent, with no hidden fees. We believe this is a key differentiator for us in the market.
Impact on Individuals
For individuals, the earnings call highlights Backblaze’s continued focus on providing reliable and affordable cloud storage solutions. The company’s partnership with AWS could lead to more options for consumers looking for cloud storage, and its enterprise solutions could lead to improved backup and data recovery options for businesses.
Impact on the World
On a larger scale, Backblaze’s earnings call indicates a growing demand for cloud storage solutions, particularly in the enterprise sector. This trend is expected to continue as more businesses move their data to the cloud and seek reliable backup and disaster recovery solutions. Backblaze’s partnership with AWS could also lead to increased competition in the cloud storage market, potentially driving down prices and improving features for consumers and businesses alike.
Conclusion
Backblaze’s Q4 2024 earnings call provided insight into the company’s financial performance and business initiatives. The company reported strong revenue growth, particularly in the enterprise sector, and announced several new initiatives, including the launch of new B2 Fireball hard drives and a partnership with AWS. These developments are expected to have a positive impact on individuals and the world at large, with increased options for cloud storage and potential competition driving down prices and improving features.
