We provided a detailed external presentation of our vision, business performance, product roadmap, and go-to-market strategy to investors at Analyst Day, I hope you were able to tune into the live stream, if not you are still able to view the materials at. After three years of steady progress, we are ready to make the final push to exit our subscription business in the next 4-6 quarters which will simplify our company and create a singular focus on consumption. What was once a distant goal, and years away when we began, is now within reach. Last year we turned a corner toward profitable growth and closed the last fiscal year exceeding $900 million dollars in revenue and over 10% non-GAAP operating margin. As we shared at our Analyst Day a few weeks ago, our consumption business has been growing above market growth rates, and New Relic now is more broadly adopted than any other Observability platform. This goal has served as our North Star and we have made tremendous progress together. Given the impact of these changes, it is important to take a step back and share context to the decisions that led us here, and express why I am confident that the changes we announce today are necessary to efficiently deliver on the promise of our company’s bright future.Īs you know, we have been on a multi-year journey to transition our business into one that not only brings ubiquity to observability, but does so simply and profitably while sustaining a high growth rate. It will be difficult to say goodbye to these Relics, and will be even harder for them as they learn this news. We will share more about the themes and strategic decisions by department in our company meeting tomorrow. The roles impacted today reflect the outcome of that thorough review, which required difficult decisions around role redundancies, roles or skills not aligned with our strategic priorities, and the performance of individuals, teams, and programs. Leading up to today, each of our leaders conducted their own rigorous review with me across their respective functions to ensure that every resource will be aligned with our future needs. Prior to sending those invites, and in response to feedback, we have informed all managers and executives of impacted employees around the company to ensure they are ready to answer your questions and concerns throughout the day. We have sent a calendar invitation to each of these employees who are impacted. Today we initiated a restructuring that will lead to the departure of approximately 155 Relics in the United States, and up to 57 internationally. The following is a message New Relic CEO, Bill Staples, sent to the company in connection with the targeted restructuring announced in the Form 8-k filed this morning.

New relic docs