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According to a Markets and Markets report, the global data science platform market is expected to grow from 30% annually over the next few years to become a $140.9 billion industry by 2024. The market was estimated at $37.9 billion in 2019. Data science and analytics platform provider Alteryx (AYX) recently announced its stellar quarterly results. The company continues to add to its partner portfolio to drive market expansion.

Alteryx’s Financials

For the first quarter, Alteryx’s revenue grew 9% to $118.8 million ahead of the market’s estimates of $106.07 million. GAAP gross profit of $107.9 million, or a GAAP gross margin of 91%, was better than GAAP gross profit of $95.8 million, or a GAAP gross margin of 88%, a year ago.

Adjusted net loss of $5.5 million, or $0.08 per diluted share, grew from $6.5 million, or $0.10 per diluted share, a year ago. The market was looking for a loss per share of $0.23.

Alteryx ended the quarter with 7,214 customers, up 12% with 131 net new customers. It achieved a dollar-based net expansion rate of 120%. ARR for the quarter grew 27% to $512.7 million.

For the second quarter, Alteryx expects revenues of $111-$114 million with an adjusted net loss of $0.27-$0.24 per share. For the full year 2021, it expects revenue of $565-$575 million with a net income of ($0.07)-$0.07 per share. The market was looking for revenues of $557.89 million for the year with a net income of $0.03 per share, and revenues of $111.03 million with a net loss of $0.20 for the quarter.

Alteryx’s Growing Partnership

Alteryx is continuing to expand its ecosystem of both community members and technology partners during the quarter. Last quarter, it launched a new Alteryx community site that simplifies the process of learning, connecting, and driving value for all its community members.

The platform includes personalized recommendations and a new data science portal to support advanced analytics. Alteryx has seen a positive impact of its community platform as the customers engaged with its community are three times more likely to expand and have significantly higher usage of advanced analytics capabilities.

Within the partner ecosystem, it continued to add players to drive strategic go-to-market and technology strengths. It announced a partnership with Blue Prism which will allow customers to have a choice of Robotic Process Automation (RPA) vendors. It is also seeing traction with its Snowflake (SNOW) alliance that was launched earlier this year.

Recently, it also entered into a distribution tie-up with Tech Data (TECD). Tech Data’s end-to-end portfolio of products, services, and solutions enable channel partners to bring to market the products and solutions needed to connect with each other. As part of the partnership, Tech Data and its partners will now have access to the Alteryx unified platform to leverage its analytics, data science, and process automation capabilities. Together, the companies expect to drive growth, expand market reach, and grow the network of value-added resellers.

Additionally, Alteryx has also been adding to its senior leadership. Recently, it announced the addition of former SAP and Cisco executive Paula Hansen as its Chief Revenue Officer. Earlier this year, it had added former Google executive Anjali Joshi to its board of directors and former Adobe executive Suresh Vittal as its Chief Product Officer.

It has recently been trading at around $75.74 with a market cap of $5.24 billion. It hit a 52-week high of $185.75 in July last year and a 52-week low of $74.72 earlier this month.

The stock has been struggling on account of its subdued revenue performance. Alteryx’s revenue was doubling at the start of 2020, and that growth has now dwindled to less than 10%. Analysts are hopeful of a rebound. The pandemic was not too kind to Alteryx, as most IT departments had put their large IT infrastructure projects on hold to focus on cloud and digital offerings. With budgets now opening up, demand for Alteryx should begin to grow. The slump should end soon.