Gitlab Inc.

Previous wording

GitLab is available to any team, regardless of the size, scope, and complexity of their deployment. As a result, we have more than 50 million registered users, and more than 50% of the Fortune 100 companies are GitLab customers. For purposes of determining the number of our active customers, we look at our customers with more than $5,000 of Annual Recurring Revenue, or ARR, in a given period, who we refer to as our Base Customers. For purposes of determining our Base Customers, a single organization with separate subsidiaries, segments, or divisions that use The DevSecOps platform is considered a single customer for determining each organization’s ARR.

Current wording

We serve teams of all sizes, scopes, and complexities. As a result, we have more than 50 million registered users, and approximately 50% of the Fortune 100 companies are GitLab customers 1. We define our active customers as those with more than $5,000 of Annual Recurring Revenue, or ARR, in a given period, who we refer to as our Base Customers. A single organization with separate subsidiaries, segments, or divisions that uses our platform is considered a single customer for determining ARR.

Previous wording

GitLab is the only DevSecOps platform built on an open-core business model. We enable any customer and contributor to add functionality to our platform. In calendar year 2024, nearly 900 people contributed more than 3,000 merge requests back to the core product, extending GitLab’s in-house R&D efforts and empowering our most passionate users to make improvements to the DevSecOps solution they use every day. Our open-core approach engenders trust with our customers and enables us to maintain our high velocity of innovation.

Current wording

GitLab is the only intelligent orchestration platform for DevSecOps built on an open-core business model. Any customer or contributor can add or enhance functionality by contributing code to the core product or extending our Continuous Integration (“CI”)/Continuous Delivery (“CD”) Catalog and AI Catalog. In calendar year 2025, users contributed more than 6,500 merge requests, extending our in-house research and development (“R&D”) and empowering our users to improve the DevSecOps solution they use daily. Our open-core approach builds trust with our customers and enables us to maintain our high velocity of innovation. We make our strategy, direction, and product roadmap publicly available.

Previous wording

GitLab offers a flexible deployment model for our customers. For our self-managed offering, the customer installs GitLab in their own on-premise or hybrid cloud environment. For our SaaS offering, the platform is managed by GitLab and hosted either in our public cloud or in our private cloud based on the customer’s preference. We also offer GitLab Dedicated, our single tenant SaaS solution, well suited for organizations with complex security and compliance requirements. See the section entitled “Key Business Metrics—Dollar-Based Net Retention Rate and ARR” below for additional information about how we define ARR.

Current wording

See the section entitled “Key Business Metrics—Dollar-Based Net Retention Rate and ARR” below for additional information about how we define ARR.

Previous wording

We believe we have built a highly differentiated platform that gives us an advantage over our competitors by empowering business, development, security, operations, and IT teams to collaborate in a single application across the entire DevSecOps lifecycle. Our technology leadership is an outcome of various factors, including our strong community, network of contributors, and continued enhancement of The DevSecOps platform by developing new features and expanding the functionality of existing features with speed and consistency. We have had a history of releasing enhanc ements to The DevSecOps platform every month and, as of October 31, 2025, had done so for the last 169 months. We intend to continue releasing new software on a monthly cadence.

Current wording

We believe we have built a highly differentiated platform that gives us an advantage over our competitors by empowering business, development, security, operations, and IT teams to collaborate in a single application across the entire DevSecOps lifecycle. Our technology leadership is an outcome of various factors, including our strong community, network of contributors, and continued enhancement of The GitLab platform by developing new features and expanding the functionality of existing features with speed and consistency. We have had a history of releasing enhanc ements to The GitLab platform every month and, as of April 30, 2026, had done so for the last 175 months. We intend to continue releasing new software on a monthly cadence.

Previous wording

We also intend to continue investing in research and development to further enhance The DevSecOps platform and sustain our innovation and technology leadership. We have a history of investing in our open source community and intend to continue to leverage our open core software to accelerate innovation. We also intend to continue to add headcount to our research and development team to extend the functionality and range of The DevSecOps platform by bringing new and improved products and services to our customers.

Current wording

We also intend to continue investing in research and development to further enhance The GitLab platform and sustain our innovation and technology leadership. We have a history of investing in our open source community and intend to continue to leverage our open core software to accelerate innovation. We also intend to continue to add headcount to our research and development team to extend the functionality and range of The GitLab platform by bringing new and improved products and services to our customers.

Previous wording

We expect our research and development expenses to increase on an absolute basis in future periods. We foresee that such investment in research and development will contribute to our long-term growth, but may also negatively impact our short-term profitability. As engaged members of the GitLab open-source community, our contributors often serve as subject matter experts at market-leading developer events and The DevSecOps platform is presented on the cutting edge of innovation. We intend to continue to invest in building out this community to foster more contributions and collaboration in the space. Our open source community, in turn, accelerates our ability to innovate and provide a better platform to our customers. We intend to expend additional resources in the future to continue enhancing The DevSecOps platform and introducing new products, features and functionality.

Current wording

We expect our research and development expenses to increase on an absolute basis in future periods. We foresee that such investment in research and development will contribute to our long-term growth, but may also negatively impact our short-term profitability. As engaged members of the GitLab open-source community, our contributors often serve as subject matter experts at market-leading developer events and The GitLab platform is presented on the cutting edge of innovation. We intend to continue to invest in building out this community to foster more contributions and collaboration in the space. Our open source community, in turn, accelerates our ability to innovate and provide a better platform to our customers. We intend to expend additional resources in the future to continue enhancing The GitLab platform and introducing new products, features and functionality.

Previous wording

Our future growth depends in large part on our ability to acquire new customers. This, in turn, relies on our ability to reach teams and organizations through our marketing and sales efforts. To this end, we are making investments in our sales and marketing efforts to expand our reach and differentiate The DevSecOps platform from competitive products and services. We believe that eventually the vast majority of organizations will switch to a DevSecOps platform and embrace a single application approach, creating a substantial opportunity to continue to grow our customer base. As a result, our Base Customers increased to 10,475 as of October 31, 2025 from 9,519 as of October 31, 2024, an increase of 10% and our $100,000 ARR customers increased to 1,405 as of October 31, 2025 from 1,144 as of October 31, 2024, an increase of 23%. See the section entitled “—Key Business Metrics—Dollar-Based Net Retention Rate and ARR” below for information about how we define ARR.

Current wording

Our future growth depends in large part on our ability to acquire new customers. This, in turn, relies on our ability to reach teams and organizations through our marketing and sales efforts. To this end, we are making investments in our sales and marketing efforts to expand our reach and differentiate The GitLab platform from competitive products and services. We believe that eventually the vast majority of organizations will switch to a GitLab platform and embrace a single application approach, creating a substantial opportunity to continue to grow our customer base. As a result, our Base Customers increased to 10,831 as of April 30, 2026 from 10,104 as of April 30, 2025, an increase of 7% and our $100,000 ARR customers increased to 1,519 as of April 30, 2026 from 1,288 as of April 30, 2025, an increase of 18%. See the section entitled “—Key Business Metrics—Dollar-Based Net Retention Rate and ARR” below for information about how we define ARR.

Previous wording

Our operating results and growth prospects will depend in part on our ability to attract new customers. While we believe we have a significant market opportunity that The DevSecOps platform addresses, we will need to continue to invest in sales and marketing, research and development, and customer support to further grow our customer base, both in the United States and internationally. We believe that we have more than 50 million registered users, which includes users of our free tier offering, providing a base of potential new customers. We intend to continue to add headcount to our global sales and marketing team to acquire new customers and to increase sales to existing customers.

Current wording

Our operating results and growth prospects will depend in part on our ability to attract new customers. While we believe we have a significant market opportunity that The GitLab platform addresses, we will need to continue to invest in sales and marketing, research and development, and customer support to further grow our customer base, both in the United States and internationally. We believe that we have more than 50 million registered users, which includes users of our free tier offering, providing a base of potential new customers. We intend to continue to add headcount to our global sales and marketing team to acquire new customers and to increase sales to existing customers.

Previous wording

We employ a “land and expand” business strategy that focuses on efficiently acquiring new customers and growing our relationships with existing customers over time. We believe that as our customers realize the benefits of a single application approach, they will increase the use of The DevSecOps platform, enhancing our ability to expand revenue generation within our existing customers over time. As a result of our approach, as of October 31, 2025 and 2024, our Dollar-Based Net Retention Rate was 119% and 124%, respectively. See the section entitled “—Key Business Metrics—Dollar-Based Net Retention Rate and ARR” below for information about how we define Dollar-Based Net Retention Rate.

Current wording

We employ a “land and expand” business strategy that focuses on efficiently acquiring new customers and growing our relationships with existing customers over time. We believe that as our customers realize the benefits of a single application approach, they will increase the use of The GitLab platform, enhancing our ability to expand revenue generation within our existing customers over time. As a result of our approach, as of April 30, 2026 and 2025, our Dollar-Based Net Retention Rate was 117% and 122%, respectively. See the section entitled “—Key Business Metrics—Dollar-Based Net Retention Rate and ARR” below for information about how we define Dollar-Based Net Retention Rate.

Previous wording

We plan to continue investing in sales and marketing, with a focus on expanding usage of our platform with our existing customers. We believe that this expansion will provide us with substantial operating leverage because the costs to expand sales within existing customers are significantly less than the costs to acquire new customers. Our future revenue growth and our ability to achieve and maintain profitability is dependent upon our ability to continue landing new customers, expanding the adoption of The DevSecOps platform by additional users within their organizations, selling add-on offerings, and upgrading customers to higher-priced tiers. Ultimately, our ability to increase sales to existing customers will depend on several factors, including our customers’ satisfaction with The DevSecOps platform, our pricing, competition, and overall changes in our customers’ spending levels.

Current wording

We plan to continue investing in sales and marketing, with a focus on expanding usage of our platform with our existing customers. We believe that this expansion will provide us with substantial operating leverage because the costs to expand sales within existing customers are significantly less than the costs to acquire new customers. Our future revenue growth and our ability to achieve and maintain profitability is dependent upon our ability to continue landing new customers, expanding the adoption of The GitLab platform by additional users within their organizations, selling add-on offerings, and upgrading customers to higher-priced tiers. Ultimately, our ability to increase sales to existing customers will depend on several factors, including our customers’ satisfaction with The GitLab platform, our pricing, competition, and overall changes in our customers’ spending levels.

Previous wording

We believe that our further growth depends in part on our ability to build and maintain successful partnerships, alliances, channels and integrations. We are continuously investing in developing a strong ecosystem and partner network, comprised of cloud and technology partners, resellers, and system integrators, as a way to expand our go-to-market strategy. We plan to continue investing in and developing these relationships to broaden our distribution footprint and drive greater awareness of our brand and The DevSecOps platform. We believe that these partnerships will extend our sales reach and provide product and technology integrations that will accelerate implementation of The DevSecOps platform in the United States and internationally. While expending resources in developing these partnerships and alliances may adversely impact our short-term profitability, we believe these investments will lead to longer term growth for the business as a whole.

Current wording

We believe that our further growth depends in part on our ability to build and maintain successful partnerships, alliances, channels and integrations. We are continuously investing in developing a strong ecosystem and partner network, comprised of cloud and technology partners, resellers, and system integrators, as a way to expand our go-to-market strategy. We plan to continue investing in and developing these relationships to broaden our distribution footprint and drive greater awareness of our brand and The GitLab platform. We believe that these partnerships will extend our sales reach and provide product and technology integrations that will accelerate implementation of The GitLab platform in the United States and internationally. While expending resources in developing these partnerships and alliances may adversely impact our short-term profitability, we believe these investments will lead to longer term growth for the business as a whole.

Previous wording

We believe that our ability to increase the number of $100,000 ARR customers is an indicator of our market penetration and strategic demand for The DevSecOps platform. A single organization with separate subsidiaries, segments, or divisions that use The DevSecOps platform is considered a single customer for determining each organization’s ARR. We do not count our reseller or distributor channel partners as customers. In cases where customers subscribe to The DevSecOps platform through our channel partners, each end customer is counted separately.

Current wording

We believe that our ability to increase the number of $100,000 ARR customers is an indicator of our market penetration and strategic demand for The GitLab platform. A single organization with separate subsidiaries, segments, or divisions that use The GitLab platform is considered a single customer for determining each organization’s ARR. We do not count our reseller or distributor channel partners as customers. In cases where customers subscribe to The GitLab platform through our channel partners, each end customer is counted separately.

Previous wording

Subscription revenue primarily consists of support, maintenance, upgrades, and updates on a when-and-if-available basis for our self-managed customers and the right to access our product in a cloud-based-infrastructure that we host for our SaaS customers. Subscription revenue is recognized ratably over the contract period as the performance obligation is satisfied.

Current wording

Subscription revenue primarily consists of support, maintenance, upgrades, and updates on a when-and-if-available basis for our self-managed offering and the right to access our product in a cloud-based-infrastructure that we host for our SaaS offering. Subscription revenue is recognized ratably over the contractual term as the performance obligation is satisfied.

Previous wording

The license component of our self-managed subscriptions reflects the revenue recognized by providing customers with access to proprietary software features. License revenue is recognized up-front when the software license is made available to our customers.

Current wording

The license component of our self-managed offering provides the right to use our proprietary software. License revenue is recognized up-front when control of the software license transfers to the customer.

Previous wording

Cost of revenue for self-managed and SaaS subscriptions consists primarily of allocated cloud-hosting costs paid to third-party service providers, personnel-related costs associated with our customer support personnel, including contractors, third-party payment processing fees, and allocated overhead. Personnel-related expenses consist of salaries, benefits, bonuses, and stock-based compensation. We expect our cost of revenue for self-managed and SaaS subscriptions to increase in absolute dollars as our self-managed and SaaS subscription revenue increases. As our SaaS offering makes up an increasing percentage of our total revenue, we expect to see increased associated cloud-related costs, such as hosting and managing costs, which may adversely impact our gross margins.

Current wording

Cost of revenue for self-managed and SaaS subscriptions consists primarily of allocated cloud-hosting costs paid to third-party service providers, personnel-related costs associated with our customer support personnel, including contractors, third-party payment processing fees, and allocated overhead. Personnel-related expenses consist of salaries, benefits, bonuses, and stock-based compensation. We expect our cost of revenue for self-managed and SaaS subscriptions to increase in absolute dollars as our self-managed and SaaS subscription revenue increases. As our SaaS and Duo Agent Platform offerings make up an increasing percentage of our total revenue, we expect to see increased associated cloud-related costs, such as hosting and managing costs, which may adversely impact our gross margins.

Previous wording

General and administrative expenses consist primarily of personnel-related expenses for our executives, finance, legal, and human resources teams. General and administrative expenses also include external legal, accounting, and director and officer insurance, as well as other consulting and professional services fees, software and subscription services, in-person company-wide event expenses, and any contract termination fees.

Current wording

General and administrative expenses consist primarily of personnel-related expenses for our finance, legal, human resources, and corporate administrative functions. General and administrative expenses also include external legal, accounting, and director and officer insurance, as well as other consulting and professional services fees, software and subscription services, in-person company-wide event expenses, and any contract termination fees.

Previous wording

Provision for (benefit from) income taxes consists primarily of income taxes in the foreign and state jurisdictions in which we conduct business. We maintain a full valuation allowance against our deferred tax assets in certain jurisdictions because we have concluded that it is not more likely than not that the deferred tax assets will be realized.

Current wording

Provision for income taxes consists primarily of income taxes in the foreign and state jurisdictions in which we conduct business. We maintain a full valuation allowance against our deferred tax assets in certain jurisdictions because we have concluded that it is not more likely than not that the deferred tax assets will be realized.

Previous wording

(2)Our results of operations include our variable interest entity, JiHu. The ownership interest of other investors is recorded as a noncontrolling interest. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Current wording

(2)Our results of operations include our variable interest entity, JiHu. The ownership interest of other investors is recorded as a noncontrolling interest. See “Note 10. Joint Venture” to ourcondensed consolidated financial statements for additional details.

Previous wording

Comparison of the Three and Nine Months Ended October 31, 2025 and 2024

Current wording

Comparison of the Three Months Ended April 30, 2026 and 2025

Previous wording

Revenue increased $48.3 million, or 25%, to $244.4 million for the three months ended October 31, 2025 from $196.0 million for the three months ended October 31, 2024. Revenue increased $147.0 million, or 27%, to $694.8 million for the nine months ended October 31, 2025 from $547.8 million for the nine months ended October 31, 2024. The increasewas primarily due to the ongoing demand for The DevSecOps platform, including adding new customers, the expansion within our existing paid customers, and an increase in our number of customers with $100,000 or greater in ARR. As of October 31, 2025 and 2024, our expansion is reflected by our Dollar-Based Net Retention Rate being 119% and 124%, respectively. We had 1,405 customers with ARR over $100,000 as of October 31, 2025, increasing from 1,144 customers with ARR over $100,000 as of October 31, 2024.

Current wording

Revenue increased $49.6 million, or 23%, to $264.2 million for thethree months ended April 30, 2026 from $214.5 million for thethree months ended April 30, 2025. The increase was primarily due to the ongoing demand for the GitLab platform, including adding new customers, the expansion within our existing paid customers, and an increase in our number of customers with $100,000 or greater in ARR. As of April 30, 2026 and 2025, our expansion is reflected by our Dollar-Based Net Retention Rate being 117% and 122%, respectively. We had 1,519 customers with ARR over $100,000 as of April 30, 2026, increasing from 1,288 customers with ARR over $100,000 as of April 30, 2025.

Previous wording

Revenue attributed to our variable interest entity, JiHu, was $2.3 million and $1.9 millionfor the three months ended October 31, 2025 and 2024, respectively, and $6.4 million and $5.3 millionfor thenine months ended October 31, 2025 and 2024, respectively. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Current wording

Revenue attributed to our variable interest entity, JiHu, was $2.5 million and $1.9 millionforthe three months ended April 30, 2026 and 2025, respectively. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Previous wording

Cost of revenue increased by $10.1 million, to $32.2 million for the three months ended October 31, 2025 from $22.1 million for the three months ended October 31, 2024, primarily due to an increase of $5.7 million in hosting expenses for increased SaaS and cloud usage. The remaining change was primarily attributable to an increase of $2.2 million in personnel-related expenses, driven by an increase in our average customer support and professional services headcount and an increase of $0.3 million in stock-based compensation expenses (as discussed in the section titled“Stock-Based Compensation Expense” below), an increase of $1.6 million in fees associated with professional services revenue delivery and an increase of $0.5 million of marketplace transaction processing fees. Gross margin decreased by 2% at 87% for the three months ended October 31, 2025 compared to 89% for the three months ended October 31, 2024.

Current wording

Cost of revenue increased by $12.5 million, to $37.5 million forthe three months ended April 30, 2026 from $25.0 million forthe three months ended April 30, 2025, primarily due to an increase of $7.5 million in third party hosting costs for SaaS and cloud usage. The remaining change was primarily attributable to an increase of $3.8 million in personnel-related expenses, driven by an increase in our average customer support and professional services headcount and an increase of $0.9 million in stock-based compensation expenses (as discussed in the section titled“Stock-Based Compensation Expense” below). Gross margin decreased by 2% to 86% forthe three months ended April 30, 2026 compared to 88% forthe three months ended April 30, 2025.

Previous wording

Cost of revenue attributed to our variable interest entity, JiHu, was$0.5 million for each of the three months ended October 31, 2025 and 2024, and$1.4 million and$1.5 million for thenine months ended October 31, 2025 and 2024, respectively. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Current wording

Cost of revenue attributed to our variable interest entity, JiHu, was$0.5 million for each ofthe three months ended April 30, 2026 and 2025. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Previous wording

Research and development expenses increased by$7.4 million, to $68.7 million for the three months ended October 31, 2025 from $61.4 million for the three months ended October 31, 2024, primarily due to an increase of $5.4 million in personnel-related expenses, driven by an increase in our average research and development headcount and an increase of $1.2 million in stock-based compensation expenses (as discussed in the section titled“Stock-Based Compensation Expense” below). The remaining change was primarily attributed to an increase of $1.9 million in hosting expenses.

Current wording

Research and development expenses increased by$6.1 million, to $71.5 million forthe three months ended April 30, 2026 from $65.4 million forthe three months ended April 30, 2025, primarily driven by an increase of $2.6 million in hosting expenses and an increase of $2.2 million in personnel-related expenses, driven by an increase in our average research and development headcount and a decrease of $0.6 million in stock-based compensation expenses (as discussed in the section titled“Stock-Based Compensation Expense” below).

Previous wording

General and administrative expenses increased by$4.8 million, to$50.8 million for the three months ended October 31, 2025 from$46.0 million for the three months ended October 31, 2024, primarily driven by an increase of $5.7 million in personnel-related expenses, driven by an increase in our average general and administrative headcount and an increase of$1.8 million in stock-based compensation expenses (as discussed in the section titled“Stock-Based Compensation Expense” below). This was partially offset by a decrease of $1.0 million in charitable donation of common stock.

Current wording

General and administrative expenses increased by $0.5 million to $51.6 million forthe three months ended April 30, 2026 from $51.1 million forthe three months ended April 30, 2025, primarily due to an increase of $2.4 million in personnel-related expenses, mainly attributable to an increase in our average general and administrative headcount and a decrease of $1.4 million in stock-based compensation expenses (as discussed in the section titled“Stock-Based Compensation Expense” below). This was partially offset by a decrease of $1.7 million mainly in charitable donations of common stock.

Previous wording

General and administrative expenses attributed to our variable interest entity, JiHu, were$1.3 million and$1.6 million for the three months ended October 31, 2025 and 2024, respectively, and$4.3 million and$3.4 million for thenine months ended October 31, 2025 and 2024, respectively. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Current wording

General and administrative expenses attributed to our variable interest entity, JiHu, were$1.3 million for each ofthe three months ended April 30, 2026 and 2025. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Previous wording

Stock-based compensation expense increased by $22.5 million, to $161.8 million for the nine months ended October 31, 2025 from $139.3 million for the nine months ended October 31, 2024, primarily due to an increase of $19.3 million of expense from RSUs and $3.2 million related to stock options.

Current wording

Stock-based compensation expense decreased by $5.8 million, to $50.1 million for thethree months ended April 30, 2026 from $55.8 million for thethree months ended April 30, 2025, primarily due to a decrease of $3.7 million of expense from RSUs and $1.1 million related to stock options.

Previous wording

Stock-based compensation attributed to our variable interest entity, JiHu, were $0.7 million net expense and $1.0 million expense for the three months ended October 31, 2025 and 2024, respectively, and $1.4 million net expense and $0.8 million net expense for the nine months ended October 31, 2025 and 2024, respectively. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Current wording

Stock-based compensation attributed to our variable interest entity, JiHu, was an expense of $0.9 million and net gain of $0.2 million for thethree months ended April 30, 2026 and 2025, respectively. See “Note 10. Joint Venture” to our condensed consolidated financial statements for additional details.

Previous wording

Interest income decreased for the three and nine months ended October 31, 2025 compared to thethree and nine months ended October 31, 2024, primarily due to income earned from our cash, cash equivalents and short-term investments as a result of lower interest rates during thethree and nine months ended October 31, 2025 compared to thethree and nine months ended October 31, 2024.

Current wording

Interest income increased forthe three months ended April 30, 2026 compared to thethree months ended April 30, 2025, primarily due to income earned from our cash, cash equivalents, and short-term investments, driven by higher average balances during thethree months ended April 30, 2026 compared to thethree months ended April 30, 2025.

Previous wording

Foreign exchange losses increased for the three and nine months ended October 31, 2025 compared to thethree and nine months ended October 31, 2024 primarily related to the revaluation of non-functional currency denominated monetary assets and liabilities.

Current wording

Foreign exchange gains (losses) increased for thethree months ended April 30, 2026 compared to thethree months ended April 30, 2025 primarily related to the revaluation of non-functional currency denominated monetary assets and liabilities.

Previous wording

Our effective tax rate decreased by approximately 417.6% for the three months ended October 31, 2025 as compared to thethree months ended October 31, 2024. A tax expense is expressed as a negative rate because of our pretax loss. The increase in tax expense from 2024 to 2025 in the same three month period was primarily due to the tax benefit recorded in thethree months ended October 31, 2024 related to the BAPA negotiations between the United States and Dutch tax authorities, and the Company’s recurring foreign operations.

Current wording

Our effective tax rate decreased by approximately 49.7% forthe three months ended April 30, 2026 as compared tothe three months ended April 30, 2025. A tax expense is expressed as a negative rate because of our pretax loss. The decrease in tax expense was primarily due to a lower year-to-date pre-tax loss in the current period, which resulted in a smaller interim provision under the estimated annual effective tax rate method.

Previous wording

Our effective tax rate for the three and nine months ended October 31, 2025 was different than the U.S. federal statutory tax rate of 21%, primarily due to the Company’s foreign and domestic operations and losses not benefited.

Current wording

Our effective tax rate forthe three months ended April 30, 2026 was different from the U.S. federal statutory tax rate of 21%, primarily due to the Company’s foreign and domestic operations, Base Erosion Anti-abuse Tax (“BEAT”), nondeductible expenses and losses not benefited, offset by tax credits.

Previous wording

As of October 31, 2025 and January 31, 2025, our principal source of liquidity was cash, cash equivalents, and short-term investments aggregating to $1.2 billion and $992.4 million, respectively, which were held for working capital and strategic investment purposes. As of October 31, 2025, cash and cash equivalents consist of cash in banks, money markets funds, treasuries, and commercial paper, while short-term investments mainly consist of treasuries, corporate debt securities, agency securities, and commercial paper.

Current wording

As of April 30, 2026 and January 31, 2026, our principal source of liquidity was cash, cash equivalents, and short-term investments aggregating to $1,357.5 million and $1,259.9 million, respectively, which were held for working capital and strategic investment purposes. As of April 30, 2026, cash and cash equivalents consist of cash in banks and money markets funds, while short-term investments mainly consist of treasuries, corporate debt securities, agency securities, and commercial paper.

Previous wording

We believe that our existing cash, cash equivalents, and short-term investments will be sufficient to support working capital and capital expenditure requirements for at least the next 12 months. Our future capital requirements will depend on many factors, including our revenue growth rate, the timing and the amount of cash received from customers, the expansion of sales and marketing activities, the timing and extent of spending to support research and development efforts, the price at which we are able to procure third-party cloud infrastructure, expenses associated with our international expansion, the introduction of platform enhancements, and the continuing market adoption of The DevSecOps platform. In the future, we may enter into arrangements to acquire or invest in complementary businesses, products, and technologies. We may be required to seek additional equity or debt financing. In the event that we require additional financing, we may not be able to raise such financing on terms acceptable to us or at all. If we are unable to raise additional capital or generate cash flows necessary to expand our operations and invest in continued innovation, we may not be able to compete successfully, which would harm our business, operating results, and financial condition.

Current wording

We believe that our existing cash, cash equivalents, and short-term investments will be sufficient to support working capital and capital expenditure requirements for at least the next 12 months. Our future capital requirements will depend on many factors, including our revenue growth rate, the timing and the amount of cash received from customers, the expansion of sales and marketing activities, the timing and extent of spending to support research and development efforts, the price at which we are able to procure third-party cloud infrastructure, expenses associated with our international expansion, the introduction of platform enhancements, the continuing market adoption of the GitLab platform, and the amount and timing of any share repurchases. In the future, we may enter into arrangements to acquire or invest in complementary businesses, products, and technologies. We may be required to seek additional equity or debt financing. In the event that we require additional financing, we may not be able to raise such financing on terms acceptable to us or at all. If we are unable to raise additional capital or generate cash flows necessary to expand our operations and invest in continued innovation, we may not be able to compete successfully, which would harm our business, operating results, and financial condition.

Previous wording

Our largest source of operating cash is payments received from our customers. Our primary uses of cash from operating activities are for personnel-related expenses, sales and marketing expenses, third-party cloud infrastructure expenses, and overhead expenses. We have generated positive and negative cash flows for the nine months ended October 31, 2025 and 2024 from operating activities, respectively.

Current wording

Our largest source of operating cash is payments received from our customers. Our primary uses of cash from operating activities are for personnel-related expenses, sales and marketing expenses, third-party cloud infrastructure expenses, and overhead expenses. We have generated positive cash flows for each of thethree months ended April 30, 2026 and 2025 from operating activities.

Previous wording

Cash used in operating activities during thenine months ended October 31, 2024 was $127.2 million, primarily consisting of our net loss of $15.4 million, adjusted for non-cash items of $178.2 million (mainly attributable to stock-based compensation expense of $139.3 million and amortization of deferred contract acquisition costs, net of $35.7 million), and net cash outflows of $290.0 million used in changes in our operating assets and liabilities. The main drivers of the changes in operating assets and liabilities were the increase of accounts receivable of $31.7 million, the increase in deferred contract acquisition costs of $35.7 million, the decrease in accrued expenses and other liabilities of $240.6 million (mainly attributable to $187.7 million for the BAPA payment), the decrease in accrued compensation and related expenses of $8.8 million, and the decrease in other non-current liabilities of $11.1 million, partially offset by the decrease in prepaid expenses and other current assets of $2.5 million, and the increase in deferred revenue of $34.5 million.

Current wording

Cash provided by operating activities during thethree months ended April 30, 2026 was $149.2 million, primarily consisting of our net loss of $5.6 million, adjusted for non-cash items of $66.0 million (mainly attributable to stock-based compensation expense of $50.1 million and amortization of deferred contract acquisition costs, net of $12.9 million), and net cash inflows of $88.8 million provided by changes of our operating assets and liabilities. The main drivers of the changes in operating assets and liabilities were the decrease in accounts receivable of $103.4 million, the increase in accrued expenses and other current liabilities of $14.5 million, and the decrease in prepaid expenses and other current assets of $6.4 million, partially offset by the decrease in deferred revenue of $14.3 million, the decrease in accrued compensation and benefits of $11.0 million, and the increase in deferred contract acquisition costs of $9.7 million. These changes primarily reflect our strong collections activity following high billings in the fourth quarter of fiscal 2026, driving the reduction in accounts receivable, while the increase in accrued expenses primarily relates to ESPP contributions and research and development expenses.

Previous wording

Cash provided by operating activities during the nine months ended October 31, 2025 was $187.1 million, primarily consisting of our net loss of $55.1 million, adjusted for non-cash items of $222.9 million (mainly attributable to stock-based compensation expense of $161.8 million and amortization of deferred contract acquisition costs, net of $40.7 million), and net cash inflows of $19.2 million provided by changes of our operating assets and liabilities. The main drivers of the changes in operating assets and liabilities were the decrease of accounts receivable of $46.3 million, the increase in deferred revenue of $17.5 million and the increase in accrued expenses and other liabilities of $1.9 million, partially offset by the decrease in deferred contract acquisition costs of $36.3 million and the decrease in accrued compensation and related expenses of $7.9 million. These changes primarily reflect improved operational performance with successful collections driving lower accounts receivable, higher accrued expenses for research and development spending, ongoing customer subscription growth contributing to increased deferred revenue, and the seasonal payment of prior period sales commissions and bonuses impacting accrued compensation balances.

Current wording

Cash provided by operating activities during thethree months ended April 30, 2025 was $106.3 million, primarily consisting of our net loss of $36.3 million, adjusted for non-cash items of $81.2 million (mainly attributable to stock-based compensation expense of $55.8 million and amortization of deferred contract acquisition costs, net of $13.9 million), and net cash inflows of $61.4 million provided by changes of our operating assets and liabilities. The main drivers of the changes in operating assets and liabilities were the decrease of accounts receivable of $65.9 million, the increase in accrued expenses and other liabilities of $10.0 million and the increase in accounts payable of $3.6 million, partially offset by the decrease in accrued compensation and related expenses of $13.1 million and the decrease in deferred contract acquisition costs of $8.1 million. These changes primarily reflect our successful collections driving lower accounts receivable and the decrease in accrued compensation is largely due to the payment of prior period commissions and bonuses, while the increase in accrued expenses primarily relates to ESPP contributions and accrued marketing and research and development spending.

Previous wording

Cash used in investing activities during the nine months ended October 31, 2024 was $8.6 million, primarily consisting of $21.5 million in proceeds from maturities, net of purchases of short-term investments, partially offset by a $20.2 million payment for a business combination, net of cash acquired, a $7.7 million payment for an asset acquisition, and $2.6 million in additions to property and equipment.

Current wording

Cash provided by investing activities during thethree months ended April 30, 2026 was $4.2 million, primarily consisting of $6.6 million in proceeds from maturities and sales of short-term investments, net of purchases, partially offset by $2.4 million in additions to property and equipment.

Previous wording

Cash used in investing activities during the nine months ended October 31, 2025 was $214.2 million, primarily consisting of $207.4 million in purchases of short-term investments, net of proceeds from maturities and sales of short-term investments, and $6.9 million in additions to property and equipment.

Current wording

Cash used in investing activities during the three months ended April 30, 2025 was $81.9 million, primarily consisting of $81.0 million in purchases of short-term investments, net of proceeds from maturities and sales of short-term investments, and $0.9 million in purchases of property and equipment.

Previous wording

Cash provided by financing activities during the nine months ended October 31, 2025 was $23.3 million, attributable to $15.5 million proceeds from the issuance of common stock upon stock options exercises and $8.4 million of proceeds from the issuance of common stock under the ESPP, partially offset by $0.5 million of payments for taxes related to net share settlement of equity awards.

Current wording

Cash used in financing activities during thethree months ended April 30, 2026 was $47.8 million, primarily attributable to$50.0 million in repurchases of common stock and $0.2 million of payments for taxes related to net share settlement of equity awards, partially offset by $2.4 million in proceeds from the issuance of common stock upon exercise of stock options.