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A comment on Cloudflare S-1. Parent comment

Re:Cloudflare S-1 by veronikakolejak on Thursday August 15, 2019 @06:12PM (#20710217)
Most of the additional 2018 loss is attributable to the major increases in General & administrative and stock-based compensation expenses. The interesting thing is that net loss in the first half of 2019 is 13% higher than in the first half of 2018 but revenue increased by 48%, judging from the filing's data https://wallmine.com/doc/edgar/0001477333/000119312519222176...

Disclaimer: working on wallmine's filings product

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Re:Cloudflare S-1 by MuffinFlavored on Thursday August 15, 2019 @11:05PM (#20711815)
As long as they lose money, they can grow revenue. When are they ever going to want to stop growing revenue?

> stock-based compensation expenses

that reads as "in order to retain employees and be competitive in the market"

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Re:Cloudflare S-1 by veronikakolejak on Friday August 16, 2019 @11:56AM (#20716443)
Definitely. The reasoning is that it's common for Operating expenses to increase significantly ahead of an IPO.
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