N-able, Inc.

Managed Data Detection and Response (MDDR) Service Overview

• Cove Data Protection

  • Fastest-growing product solution, largest recurring revenue product group.
  • Provides necessary safety nets for data restoration during loss events.
  • Significant enhancements include simplified data retention models and improved backup speeds.

• Security Suite

  • Depth and breadth create compelling value for cyber resilience.
  • Includes EDR, endpoint antivirus, email protection, password management, and more.

Integration of MDDR Services

• Managed Detection and Response (MDR)
  • Tech-enabled human-assisted service powered by Extended Detection and Response (XDR) software.
  • Offers human interpretation of security events at a cost-effective level suitable for small to medium businesses (SMBs).
• Extended Detection and Response (XDR)
  • Provides broad visibility across IT environments, facilitating comprehensive risk mapping.
  • Enables rapid data ingestion from various sources (network, cloud, endpoints).

Market Position and Growth

• Strong emphasis on cyber resilience, crucial for small and medium-sized enterprises (SMEs) facing increased IT complexity.
• Anticipated growth in managed service provider (MSP) market by at least 12% in 2024.

Company Strategies

• Focusing on long-term contracts leading to stronger customer relationships and higher retention rates.
• Continuous evolution of offerings to meet the demands of the cybersecurity landscape.

Financial Highlights

• For Q3:
  • Total revenue: $116.4 million
  • Year-over-year growth: 8%
  • Subscription revenue: $115 million
  • Adjusted EBITDA margin: Approximately 39%.

Future Outlook

• N-able's strategic bets on security and data protection categories, specifically through Cove and XDR.
• Significant opportunities remain within the managed services space, especially as more customers transition to cloud offerings.