MongoDB (NASDAQ: MDB) delivered a first-quarter beat about more than just the numbers. Revenue hit $687.6 million, $23 million above consensus, while non-GAAP EPS of $1.32 beat estimates by $0.13. The real signal was in the backlog. Remaining performance obligations surged 88% year-over-year to $1.46 billion, and current RPO jumped 69% to $766.3 million. These figures suggest the beat was not a one-off.
Total revenue grew 25% year-over-year, climbing from $549 million. Atlas revenue rose 29% to $512.5 million. Enterprise Advanced and other subscription revenue increased 13% to $153.7 million. Services revenue added $21.5 million, up 22%. Atlas now accounts for 75% of subscription revenue, up from 74% a year ago.
Profitability expanded alongside growth. The non-GAAP operating margin reached 18%, up from 16% a year earlier. Non-GAAP income from operations rose to $123.2 million from $87.4 million. GAAP net income swung to a positive $4.4 million from a $37.6 million loss. Free cash flow nearly doubled to $197.5 million from $105.9 million, leaving the company with $2.4 billion in cash and short-term investments.
The RPO surge is the most telling metric. An 88% jump in total RPO and a 69% increase in cRPO imply customers are signing longer-term commitments at a faster clip. This aligns with management's commentary about "strong end-market demand across enterprise use cases and emerging AI opportunities." But it also raises the bar. MongoDB must now convert that backlog into recognized revenue at a pace that justifies the raised guidance.
The company lifted its Q2 revenue guidance to a range of $729 million to $734 million, up from a previously implied range of roughly $710 million to $715 million. Full-year fiscal 2027 revenue guidance was increased to $2.92 billion to $2.96 billion. Non-GAAP EPS guidance for the year was raised to $5.95 to $6.14, up from a prior range around $5.50 to $5.70. The guidance raise came with a broad-based beat, not one driven by a single large deal or timing.
MongoDB also made strategic moves. It acquired Clarity Business Solutions to deepen its US Federal vertical, appointed new product and revenue leaders, and expanded its Irish operations. These steps show the company is investing for the next phase of growth.
What to watch next: the pace of Atlas consumption growth and the health of the RPO conversion rate. The raised guidance implies confidence, but the 88% RPO surge means MongoDB is carrying a heavier load of future obligations. If execution slips, that backlog becomes a liability. For now, the quarter supports the bull case: durable growth, expanding margins, and accelerating demand.