Rapid7 Achieves Record Annual and Quarterly Revenue

Significant Hires, Product Innovation, and International Expansion Drive Company's Success

Boston, MA — February 21, 2012

Rapid7, the leading provider of security risk intelligence solutions, today announced results for the 2011 fourth quarter and year. The company achieved another stellar year of growth with a 72% increase in annual revenue. For the fourth quarter, revenue increased 73% over the fourth quarter of 2010, marking the eleventh consecutive quarter of record-setting revenue. Throughout the year, Rapid7 consistently exemplified its leadership in the vulnerability management and penetration testing markets by offering innovative products and strategically expanding its management team. The Company also added to its global customer base with hundreds of new clients, including Papa Ginos, The Neat Company, Marketo and ErgoGroup.

"Rapid7 ended 2011 with a bang," said Mike Tuchen, CEO of Rapid7. "It's an exciting time for the Company. Our success is a reflection of our innovation in product development and the top talent we chose to be a part of the Rapid7 family. In addition, it's exciting to have received significant funding in Q4 that will allow us to embark on an even more aggressive growth strategy in 2012 and beyond. We'll build on our success in the coming year by delivering an extraordinary customer experience and simple solutions for complex security challenges."

Company Growth

For the eleventh quarter in a row, Rapid7 achieved record-setting revenue and significant company growth. The Company also received $50 million in series C funding from Palo Alto, Calif.-based Technology Crossover Ventures (TCV). In 2012, the Company plans to use the funding to open a Boston-based innovation center, make strategic acquisitions within the security industry, and fuel international growth. In addition to the new innovation center, the investment will support expanding Rapid7's existing engineering teams by adding more than 100 new employees in Boston, MA, Los Angeles, CA, Austin, TX and Toronto, Canada.

Product Innovation

In 2011, Rapid7 developed numerous product enhancements to provide customers with simple and innovative solutions for the complex security challenges they face. These included:

  • Nexpose® Enterprise 5.0:
    Rapid7's award-winning vulnerability management solution, Nexpose Enterprise, offers industry-first capabilities used by organizations to discover and track assets in both their virtualized and physical infrastructures, to ensure these environments do not present potential hidden security threats. The new version of Nexpose also introduced the patent-pending Real Risk™ technology to identify vulnerabilities that are currently exploited by malware, further enhancing its security risk intelligence.
  • Metasploit® Community Edition:
    Rapid7 launched the Metasploit Community Edition, a free penetration testing solution to help security and IT professionals validate security threats and test remediation. Metasploit Community combines the open source Metasploit® Framework with a basic version of the robust commercial user interface available in Metasploit® Pro to provide a simplified approach to vulnerability verification and penetration testing for organizations of any size.

Customer News

During the year, Rapid7 expanded its reach into a variety of industries across the globe. The Company now has more than 2000 enterprise and government customers in over 65 countries. In the fourth quarter, Rapid7 signed significant deals with a number of prominent companies, including the New England pizza franchise Papa Ginos, Peabody Energy Company, the world's largest private-sector coal company, Marketo, the B2B revenue performance management company, The Neat Company, which offers digital filing systems, leading Nordic IT company ErgoGroup, and Raiffeisen Bank Kosovo, a subsidiary of Raiffeisen Bank International AG (RBI).

Management Team Expansion

Rapid7 made several strategic internal promotions and additions to its executive management team, including:

  • Carol Meyers as chief marketing officer (CMO)
    Carol brings extensive marketing and sales expertise and proven success in driving technology companies to growth, including delivering more than $1.5 billion in market value for investors through three IPOs.
  • Christina Luconi as its chief people officer (CPO)
    With more than 15 years of experience leading people strategy for high growth organizations including @stake, Inc., and Sapient Corporation, Christina is leading Rapid7's strategic people initiatives, focusing on recruiting critical talent, promoting corporate culture, and driving acquisition integration expertise to ensure Rapid7 remains a top employer around the world.
  • Kara Gilbert as vice president of sales for the Americas
    Kara has a proven track record of successfully building and leading inside sales teams, with 13 years most recently spent at Oracle. Her focus at Rapid7 is on fueling the company's consistent revenue growth and developing organizational leaders.
  • Marcus Carey as security researcher and evangelist
    Marcus' immense industry knowledge has been built over a 17 year career in information security, spanning roles in military cryptology, enterprise intrusion detection, and prevention system deployments for the United States Navy, National Security Agency and the Defense Intelligence Agency. As a member of NSA's NISIRT incident response team, he analyzed and responded to attacks on the NSA's network.

Industry Leadership

In 2011, the Company was recognized for its continued growth and industry leadership. In the first half of the year, Nexpose received a "Strong Positive" - the highest rating possible - in Gartner's 2011 "MarketScope for Vulnerability Assessment." On the Boston Business Journal Pacesetters List, Rapid7 was named the fifth fastest-growing privately held company and the fastest growing software company in the region. This publication and fellow Boston paper, The Boston Globe, both listed the Company as one of the best places to work in Massachusetts. In addition, Inc. magazine recognized Rapid7 as one of the fastest growing companies in America for a third year in a row and the Company was named a finalist in two categories in the upcoming 2012 SC Magazine Awards.


About Rapid7

Rapid7 security analytics software and services reduce threat exposure and detect compromise for 3,000 organizations across 78 countries, including over 250 of the Fortune 1000. We understand the attacker better than anyone and build that insight into our solutions to improve risk management and stop threats faster. We offer advanced capabilities for vulnerability management, penetration testing, controls assessment, incident detection and investigation across your assets and users for virtual, mobile, private and public cloud networks. To learn more about Rapid7 or get involved in our threat research, visit www.rapid7.com.

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