Summary of JFrog Conference Call Company Overview - **Company**: JFrog - **Industry**: Cybersecurity and Infrastructure Software - **Founded**: 15 years ago - **Core Offering**: Manages software supply chain assets, including hosting, managing, storing, securing, and distributing software packages and binaries. [2][3] Key Financial Highlights - **Q3 Performance**: - 50% growth in cloud services driven by increased usage and larger customer commitments [4] - 54% growth in customers spending over $1 million annually, with 10 new customers added [4] - 39% year-over-year growth in revenue from the full platform subscription (E+) [5] - Strong free cash flow and operating margin maintained [5] Market Trends and Customer Insights - **Cloud Adoption**: - Increased investment in AI technologies by developers, leading to higher demand for cloud services [7][10] - Shift in discussions from cloud migration to AI adoption among CIOs and CISOs [10][11] - **Data Transfer and AI**: - AI generates more code, leading to increased creation of binaries, which benefits JFrog's services [13][14] - Automation of AI in DevOps is driving significant data transfer and storage needs [17] Go-to-Market Strategy - **Sales Strategy**: - Investments in security training for sales teams and incentivizing sales targets focused on security [20][22] - Transitioning to serve enterprise customers with a holistic platform approach rather than point solutions [23][27] - **Customer Engagement**: - Focus on understanding the value provided to different customer segments, particularly enterprises [26][27] Competitive Landscape - **Competition**: - Competing against point solutions in the DevSecOps space, with a focus on providing a holistic solution that integrates security, governance, and artifact management [29][30] - Increasing demand for comprehensive solutions over best-of-breed point solutions [30] Security and Market Demand - **Security Concerns**: - Recent high-profile vulnerabilities have heightened awareness among CISOs about the need for comprehensive security solutions [31][32] - JFrog's offerings provide a full security solution for the software supply chain, addressing vulnerabilities and compliance [32][33] Partnerships and Integrations - **GitHub Partnership**: - Integration with GitHub enhances the value proposition by combining source code management with binary management [34][36] - The partnership has evolved to include security features and a unified experience for developers [38] MLOps Development - **MLOps Capabilities**: - JFrog has integrated MLOps capabilities into its platform, acquired Qwak AI to enhance offerings [40][49] - Market maturity for MLOps is still developing, with security and trust being key concerns for customers [41][48] Financial Discipline and Capital Allocation - **Financial Strategy**: - Focus on maintaining efficiency and disciplined spending, with a significant margin expansion of over 1,600 basis points [51] - Strong free cash flow allows for potential M&A opportunities to fill product gaps [52][54] Conclusion - JFrog is positioned well in the cybersecurity and infrastructure software market, with strong growth in cloud services and a focus on AI and security. The company is adapting its go-to-market strategy to better serve enterprise customers and is actively investing in MLOps capabilities and partnerships to enhance its offerings.

Core Insights - JFrog Ltd. will report its financial results for the fourth quarter and fiscal year 2025 on February 12, 2026, after market close [1] - A conference call to discuss these results is scheduled for 2:00 p.m. PT on the same day [1] Company Overview - JFrog Ltd. is a creator of a unified DevOps, DevSecOps, and MLOps platform aimed at delivering software seamlessly from development to production [2] - The company promotes a "Liquid Software" vision, providing a Software Supply Chain Platform that enables organizations to build, manage, and distribute software quickly and securely [2] - JFrog's platform is hybrid, universal, and multi-cloud, available as both SaaS services and self-hosted solutions [2] - The company serves millions of users and over 7,000 customers globally, including a majority of the Fortune 100 [2]

Company Overview - JFrog provides DevOps solutions for enterprise software supply chains, including tools like JFrog Artifactory, Pipelines, Xray, and Distribution, focusing on software package management, security, and delivery automation [6][8] - As of December 10, 2025, JFrog's market capitalization is $8.15 billion, with a revenue of $502.61 million for the trailing twelve months (TTM) [5] - The company's stock has experienced a significant one-year price change of 127.10%, reflecting a strong performance in the market [5] Insider Transaction - Director Yossi Sela sold 25,000 shares in an open-market transaction on December 10, 2025, for a total value of $1.75 million, which represents 16.22% of his holdings [2][4] - Post-transaction, Sela retains 129,165 shares, which is 22.9% of his initial position, indicating that future sales of similar size will impact a larger proportion of his remaining stake unless he replenishes his holdings [4][12] - The sale occurred when JFrog's shares had delivered a 126.83% one-year return, with the average sale price of $70.00 per share being close to the market close of $68.98 [4][10] Market Context - The transaction took place as JFrog's stock reached a five-year high, suggesting a strategic timing for the sale [9] - Sela has been on the board of directors since 2012, indicating a long-term commitment to the company, and the sale may represent a realization of gains after a prolonged period of stock price recovery [9][10] - JFrog's stock price had previously experienced significant volatility, dropping from an initial price of $44 per share to just above $16 per share by mid-2022 before recovering [10]

Group 1: Market Performance - The Medical-Biomed/Biotech industry group of Investor's Business Daily experienced a significant surge in 2025, achieving nearly a 34% gain by the end of the year [4] - JFrog (FROG) stock more than doubled in 2025 but has since retreated to a key support level ahead of its fourth-quarter earnings report [5] - Snowflake's Relative Strength Rating improved to over 80, indicating strong market performance [6] Group 2: Company Insights - JFrog's Composite Rating has jumped to 98, reflecting renewed technical strength in the stock [8] - JFrog's Relative Strength Rating has seen a rise to 91, showcasing its improving market leadership [10] - The stock of JFrog recently broke out to its highest level since February 2021 before experiencing a sharp pullback [5]

Company Overview - JFrog Ltd. is a technology company that specializes in software development lifecycle solutions, focusing on automating, securing, and managing software delivery at scale [6] - The company operates a subscription-based business model, generating revenue from software licenses, support services, and enterprise solutions for both cloud and on-premises deployments [9] Financial Performance - In the third quarter, JFrog reported revenue of $136.9 million, representing a 26% year-over-year increase, with cloud revenue growing by 50% and now accounting for nearly half of total sales [10] - Non-GAAP operating income was $25.6 million, resulting in an 18.7% margin, while free cash flow reached $28.8 million for the quarter [10] - The company maintained a strong net dollar retention rate of 118%, with the number of customers spending over $1 million annually increasing to 71 [10] Market Position - As of November 13, Shannon River Fund Management increased its stake in JFrog by purchasing 647,140 shares, raising its total holding to 863,924 shares valued at $40.89 million [2][3] - JFrog's shares were priced at $66.81, reflecting a 119% increase over the past year, significantly outperforming the S&P 500, which rose by 15% during the same period [3][4] Investment Insights - JFrog now constitutes 6.58% of Shannon River Fund Management's 13F AUM, indicating confidence in the company's long-term durability rather than a short-term trade [3][11] - Despite the significant price increase, the combination of accelerating cloud adoption, expanding enterprise spending, and rising cash generation suggests that JFrog may not become undervalued once the market fully recognizes its potential [11]

Core Insights - 2025 marked the third consecutive year of double-digit increases on Wall Street, with a notable performance from Israeli stocks, although only about a quarter outperformed Wall Street indices [1] Company Performance - **Enlight Renewable Energy (Nasdaq: ENLT; TASE: ENLT)**: The company saw a stock increase of 162% in 2025, with a market cap rising from $2 billion at its IPO in 2023 to over $6 billion. It is recognized as one of the top companies in solar energy projects in the US [2] - **Pagaya (Nasdaq: PGY)**: The stock price increased by 143% in 2025, with a current market cap of $1.8 billion. The company turned a net profit earlier than expected this year, following a significant financial recovery [3][4] - **Tower Semiconductor Ltd. (Nasdaq: TSEM; TASE: TSEM)**: The chipmaker's stock rose by 135% in 2025, reaching a market cap of $13.6 billion, largely driven by the AI boom [5] - **JFrog (Nasdaq: FROG)**: The company experienced a 127% stock increase, with a market cap of $7.9 billion. The growth was fueled by strong third-quarter results and positive forecasts [6] - **Elbit Systems Ltd. (Nasdaq: ESLT; TASE: ESLT)**: The defense company saw a 125% increase in stock price, achieving a record market cap of $27 billion, supported by a significant order backlog and large international contracts [7]

Core Insights - JFrog has experienced significant growth in 2025, with strong stock performance and execution contributing to its success [1] - The company's cloud business growth has shifted from being heavily reliant on large customer migrations in 2023 and 2024 to a more consumption-driven revenue model in 2025 [2] Group 1 - The year 2025 has been unique for JFrog compared to previous years, highlighting a strong execution and stock price performance [1] - The growth in the cloud business is now driven more by consumption rather than just migration, indicating a shift in revenue generation strategy [2]

Summary of JFrog's 2025 TMT Conference Call Company Overview - **Company**: JFrog - **Event**: Barclays 2025 TMT Conference - **Key Speaker**: Jeff Schreiner, Head of Investor Relations Key Industry Insights - **Growth Drivers**: In 2025, JFrog's growth has shifted from migration-driven to consumption-driven revenue, with increased customer engagement in AI and ML technologies [3][4][5] - **Security Offerings**: There is a notable increase in demand for JFrog's security products, particularly following recent industry attacks, which have heightened interest in their security solutions [5][21][24] Financial Performance - **Revenue Recognition**: JFrog recognizes revenue based on customer commitments, with a "use-it-or-lose-it" model that incentivizes higher consumption levels [9][10] - **Contractual Commitments**: The company has seen strong usage and overages, particularly in Q1 and Q3, driven by AI and ML experimentation [11][12] Product Development and Strategy - **Security Product Development**: JFrog's security offerings have gained traction, with a 50/50 split in deployment and pipeline between Advanced Security and Curation products [26] - **Curation Product**: Following the NPM attack, demand for the Curation product has surged, as it acts as a firewall for software development organizations [22][24] - **New Product Announcements**: JFrog introduced several new products at SwampUp, including JFrog Fly, AppTrust, and AI Catalog, aimed at enhancing software development processes [38][42] Market Position and Competitive Advantage - **Platform Strategy**: JFrog's transition to a platform-based model has improved customer retention and allowed for larger contract commitments [52][53] - **AI and ML Integration**: The company is positioning itself as a key player in the AI/ML space, with significant interest from foundational AI companies [55][63] Future Outlook - **Guidance Philosophy**: JFrog plans to continue guiding based on signed commitments rather than usage, reflecting a more stable forecasting approach [68][69] - **Retention Rates**: The company maintains a high gross retention rate of 97%, attributed to its comprehensive platform offerings [50] Additional Considerations - **Budget Constraints**: Customers are expressing challenges in finding budget for new security products despite increased interest [24][25] - **Market Dynamics**: The evolving landscape of software development and security necessitates continuous adaptation and innovation from JFrog to maintain its competitive edge [46][49]

JFrog Conference Call Summary Company Overview - **Company**: JFrog (NasdaqGS:FROG) - **Founded**: 2010 - **Core Product**: Artifactory, a repository manager for binaries and open-source packages [3][4] Industry Context - **Market Opportunity**: Transition from monolithic software development to a more modular approach, necessitating better management of binaries and security [3][4] - **Shift in Software Development**: Increasing reliance on open-source packages and external binaries in software development [3][4] Key Value Proposition - **Security Integration**: Transitioning from a product-led organization to a security-focused platform with the acquisition of Vdoo, enhancing the value proposition with security features [5][50] - **Enterprise Plus Platform**: Offers additional security-related products, including AppTrust, which integrates governance into the software development lifecycle [5][50] Financial Performance and Guidance - **Revenue Growth**: Accelerating revenue growth driven by cloud consumption, security add-ons, and higher-tier adoptions [19][21] - **Guidance Philosophy**: Shifted to a more conservative guidance approach post-Q2 hiccup, focusing on commitments rather than overusage [18][19] Growth Drivers - **Cloud Migration**: Significant uplift (20%-80%) from migrating customers from self-hosted to cloud solutions [20][21] - **Security Demand**: Addition of security features has led to larger deal sizes and new customer acquisitions [21][22] - **RPO Growth**: Record visibility with RPO doubling since the end of 2023, indicating increased customer commitment [22][24] Competitive Landscape - **Main Competitors**: - **DevOps**: Sonatype (focus on security, less on DevOps), Cloudsmith (AI-focused but limited by consumption concerns) [28][30] - **Security**: Competing against point solutions like Aqua, Checkmarx, Veracode, and Black Duck [30] - **AI/ML**: Emerging competitive landscape with potential new entrants [31] Strategic Initiatives - **Platformization**: Emphasis on consolidating vendors and creating a comprehensive platform for software development [23][24] - **Security Products**: Advanced Security and Curation products are critical for addressing customer needs in software development security [50][51] Future Outlook - **AI/ML Integration**: Anticipated growth in the importance of binaries in AI/ML development, with JFrog positioned as a leader in managing these assets [56][57] - **Cash Management**: Strategic cash allocation for potential acquisitions and employee compensation adjustments [54][55] Conclusion - **Key Message for Investors**: JFrog is positioned as a leader in managing binaries, with a focus on security and the emerging AI/ML landscape, indicating strong future growth potential [57][58]

Core Insights - The company has maintained its strategic direction, showing strong execution in 2025 compared to 2024 [1] - There is significant growth in cloud services, with a year-over-year increase of 50%, driven by usage exceeding minimum commitments [1] Group 1: Financial Performance - Unlike 2024, which featured three of the largest deals in the company's history, 2025 is seeing an increase in the number of large deals [2] - The average selling prices (ASPs) are increasing, indicating a positive trend in pricing power [2] - There is a notable acceleration in the velocity of large deals, contributing to robust growth in the enterprise sector [2]