What’s boosting customer spending?
Nutanix (NTNX) is set to gain from customers’ changing spending habits. The company has continued to strike deals worth more than $1 million regularly. The company’s transition toward software-centric business has sped up Nutanix’s large deal momentum.
Higher cloud technology usage across various enterprises has led to huge demand for cloud management services. Nutanix’s strong portfolio, which includes its Calm, Acropolis, Prism, and Xi products, continues to lure customers. Such products not only offer a single cloud app to manage multiple storage facilities but also bring together the private and public cloud into a single software platform.
The graph above shows how Nutanix’s deals worth more than $1 million have increased in the last five quarters. In the last five quarters, it has gained ~315 customers with a deal size above $1 million, at an average of 63 customers per quarter. In fiscal 1H18, the company added 137 such customers, against 59 in fiscal 1H17. Nutanix exited fiscal 2Q18 with a total of 541 high-profile clients, compared with 295 in 2Q17.
Nutanix has 57 clients with over $5 million in lifetime bookings, 18 customers with over $10 million in lifetime bookings, and ten customers with more than $15 million in lifetime bookings. IBM (IBM), Dell (DVMT), and Lenovo are some major clients.