Netskope ($NTSK) filed for an IPO, making them only the 2nd pure-play software company in 2025 behind Figma’s blockbuster IPO. In a world where companies like Databricks can raise billions at $100B+ valuations, Netskope is opting for the public markets.

While they are not the fastest-growing (or most efficient) company at $700M+ in ARR, growing ~30% and still burning money, it’s a good time to be going out as the only other venture-backed software IPO except Figma in 2025. If they trade well and get a strong “IPO pop”, the company could exceed their 2021 post-money valuation of ~$7.5B.

The company does stretch the boundaries on some of their efficiency metrics. For example: 1) gross revenue retention does not include contraction, 2) they introduce a new set of metrics called “incremental gross margin” and “incremental operating margin” which is an attempt to show operating leverage, and 3) it appears much of their increase in free cash flow margin comes from billing changes.

Even so, being the first venture-backed software/infrastructure company behind Figma is a good place to be, and they should generate significant demand. The “IPO pop” will determine if they get past their 2021 series H post-money valuation of $7.5B.

We did a full breakdown of the company below:

Here are the web version and PDF version.