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Leaked numbers reveal massive revenue growth at $3 billion Google-backed startup UiPath

Jan 21, 2019, 06:04 IST

UiPath

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  • UiPath, an artificial intelligence company backed by Google and Sequoia, will soon hit $200 million annual recurring revenue, sources told Business Insider.
  • Though founded in 2005, the company had just $3.5 million in ARR in 2016.
  • The company, which is backed by Accel, CapitalG and Sequoia, was last valued at $3 billion in a September funding round.

The buzzy and well-funded $3 billion artificial intelligence startup UiPath will soon hit $200 million in annual recurring revenue, sources told Business Insider.

UiPath, which does robotic process automation, brought in just $3.5 million in ARR in 2016, according to one source. This means the company grew its revenue by 5614% in less than three years.

ARR is a popular metric used by subscription software or SaaS companies. It essentially takes the value of long-term subscription contracts and normalizes it for a one year period.

The company announced that it hit $100 million in annual recurring revenue in July 2018, then $150 million in November. When UiPath hits $200 million in revenue in the next couple of weeks, its revenue will have grown 33% in just over two months.

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Robotic process automation is a set of artificial intelligence tools which perform digital tasks by interacting with human interfaces, such as web pages. UiPath in particular has had success with customers in the government space, from the Army to the Internal Revenue Service.

Read more: 2 dealmakers named David: Uber and Lyft's expected IPOs will trigger competition at Google's in-house VC firms

Founded in Romania in 2005, UiPath stayed relatively low-profile until 2015 when it raised its first round of venture capital. Silicon Valley firm Accel led its Series A in 2017, when it raised around $30 million at a $110 million valuation, according to PitchBook.

Alphabet's CapitalG jumped into the company in 2018, leading its first $1 billion unicorn round with a $153 million Series B. CapitalG and Sequoia Capital co-led a $225 million Series C in September, which valued the company at $3 billion, according to PitchBook.

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