Cloudflare, Inc 10-Q for FY2020 Q3

Cloudflare, Inc. (NET)

10-Q 2020-11-10 For: 2020-09-30

Added on April 05, 2026

About this 10-Q

Cloudflare, Inc filed this 10-Q on November 10, 2020, covering the quarter ended September 30, 2020 (FY2020 Q3).

Headline figures

Quarter ended September 30, 2020, as reported in this filing, compared with the same period a year earlier where the filing states it.

Revenue: $114.16M; up 54.4% from $73.94M a year earlier
Net loss: $26.47M; compared with a net loss of $40.85M a year earlier

Search and read filings like this one from Claude or ChatGPT with the SEC filings MCP server →


Delaware						27-0805829
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification Number)


Title of Each Class	Trading Symbol	Name of Each Exchange on Which Registered
Class A Common Stock, $0.001 par value	NET	The New York Stock Exchange



	PART I. FINANCIAL INFORMATION	Page

Item 1	Financial Statements (unaudited)	6
	Condensed Consolidated Balance Sheets as of September 30, 2020 and December 31, 2019	6
	Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2020 and 2019	7
	Condensed Consolidate d Statements of Comprehensive Loss for the Three and Nine Months Ended September 30, 2020 and 2019	8
	Condensed Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) for the Three and Nine months ended September 30, 2020 and 2019	9
	Condensed Consolidated Statements of Cash Flows for the Nine months ended September 30, 2020 and 2019	13
	Notes to Condensed Consolidated Financial Statements	14
Item 2	Management's Discussion and Analysis of Financial Condition and Results of Operations	38
Item 3	Quantitative and Qualitative Disclosures about Market Risk	56
Item 4	Controls and Procedures	57

	PART II. OTHER INFORMATION

Item 1	Legal Proceedings	59
Item 1A	Risk Factors	59
Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	102
Item 6	Exhibits	103
	Signatures	105


	September 30, 2020		December 31, 2019

Assets
Current assets:
Cash and cash equivalents	$	111,959	$	138,976
Available-for-sale securities	939,338		497,972
Accounts receivable, net	48,783		33,867
Contract assets	2,086		2,063
Restricted cash short-term	2,187		—
Prepaid expenses and other current assets	23,026		16,994
Total current assets	1,127,379		689,872
Property and equipment, net	122,423		101,466
Goodwill	17,167		4,083
Acquired intangible assets, net	3,500		31
Operating lease right-of-use assets	45,106		—
Deferred contract acquisition costs, noncurrent	37,714		25,184
Restricted cash	6,660		6,660
Other noncurrent assets	11,276		3,528
Total assets	$	1,371,225	$	830,824
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	16,995	$	11,463
Accrued expenses and other current liabilities	38,630		28,314
Operating lease liabilities	17,265		—
Liability for early exercise of unvested stock options	9,679		13,263
Deferred revenue	48,435		30,843
Total current liabilities	131,004		83,883
Convertible senior notes, net	374,511		—
Build-to-suit lease financing obligation	—		10,506
Operating lease liabilities, noncurrent	29,675		—
Deferred revenue, noncurrent	1,637		804
Other noncurrent liabilities	7,951		9,803
Total liabilities	544,778		104,996
Commitments and contingencies (Note 8)
Stockholders’ Equity:
Class A common stock; $0.001 par value; 2,250,000 shares authorized as of September 30, 2020 and December 31, 2019; 233,509 and 87,072 shares issued and outstanding as of September 30, 2020 and December 31, 2019, respectively	233		87
Class B common stock; $0.001 par value; 315,000 shares authorized as of September 30, 2020 and December 31, 2019; 73,520 and 213,101 shares issued and outstanding as of September 30, 2020 and December 31, 2019, respectively	69		207
Additional paid-in capital	1,212,074		1,027,179
Accumulated deficit	(386,499)		(301,706)
Accumulated other comprehensive income	570		61
Total stockholders’ equity	826,447		725,828
Total liabilities and stockholders’ equity	$	1,371,225	$	830,824


	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019


Revenue	$	114,162	$	73,941	$	305,133	$	203,092
Cost of revenue	27,005		16,033		71,990		45,225
Gross profit	87,157		57,908		233,143		157,867
Operating expenses:
Sales and marketing	55,982		45,538		154,323		112,191
Research and development	30,902		27,863		92,387		64,380
General and administrative	21,525		25,593		68,460		59,300
Total operating expenses	108,409		98,994		315,170		235,871
Loss from operations	(21,252)		(41,086)		(82,027)		(78,004)
Non-operating income (expense):
Interest income	1,316		1,079		5,742		2,822
Interest expense	(9,828)		(407)		(14,902)		(970)
Other income (expense), net	(208)		(651)		58		(1,030)
Total non-operating income (expense), net	(8,720)		21		(9,102)		822
Loss before income taxes	(29,972)		(41,065)		(91,129)		(77,182)
Provision for (benefit from) income taxes	(3,504)		(212)		(5,780)		491
Net loss	$	(26,468)	$	(40,853)	$	(85,349)	$	(77,673)
Net loss per share attributable to common stockholders, basic and diluted	$	(0.09)	$	(0.35)	$	(0.29)	$	(0.81)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted	301,689		118,056		298,628		96,393


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934



	Three Months Ended September 30, 2020
	Redeemable convertible preferred stock			Class A common stock			Class B common stock			Additional paid-in capital		Accumulated deficit		Accumulated other comprehensive income (loss)		Total stockholders’ equity (deficit)
	Shares	Amount		Shares	Amount		Shares	Amount
Balance as of June 30, 2020	—	$	—	184,900	$	184	120,524	$	116	$	1,194,125	$	(360,031)	$	1,224	$	835,618
Issuance of common stock upon exercise of stock options	—	—		—	—		927	2		1,388		—		—		1,390
Repurchases of unvested common stock	—	—		(2)	—		—	—		—		—		—		—
Issuance of common stock related to early exercised stock options	—	—		—	—		42	—		—		—		—		—
Vesting of shares issued upon early exercise of stock options	—	—		—	—		—	—		1,140		—		—		1,140
Issuance of common stock related to settlement of RSUs	—	—		197	—		449	—		(1)		—		—		(1)
Tax withholding on RSU settlement	—	—		—	—		(8)	—		(299)		—		—		(299)
Conversion of Class B to Class A common stock	—	—		48,414	49		(48,414)	(49)		—		—		—		—
Stock-based compensation	—	—		—	—		—	—		15,721		—		—		15,721
Net loss	—	—		—	—		—	—		—		(26,468)		—		(26,468)
Other comprehensive income (loss)	—	—		—	—		—	—		—		—		(654)		(654)
Balance as of September 30, 2020	—	$	—	233,509	$	233	73,520	$	69	$	1,212,074	$	(386,499)	$	570	$	826,447


	Three Months Ended September 30, 2019
	Redeemable convertible preferred stock			Class A common stock			Class B common stock			Additional paid-in capital		Accumulated deficit		Accumulated other comprehensive income (loss)		Total stockholders’ equity (deficit)
	Shares	Amount		Shares	Amount		Shares	Amount
Balance as of June 30, 2019	165,658	$	331,521	—	$	—	92,686	$	86	$	87,111	$	(232,698)	$	66	$	(145,435)
Issuance of common stock upon initial public offering, net of underwriting discounts and issuance costs	—	—		40,250	40		—	—		565,001		—		—		565,041
Conversion of redeemable convertible preferred stock to common stock upon initial offering	(165,658)	(331,521)		31,381	31		134,277	135		331,355		—		—		331,521
Conversion of redeemable convertible preferred stock warrants into common stock warrants and issuance of common stock upon net exercise of common stock warrants	—	—		—	—		174	—		3,135		—		—		3,135
Issuance of common stock upon exercise of stock options	—	—		9	1		1,108	1		1,833		—		—		1,835
Repurchases of unvested common stock	—	—		—	—		(33)	—		—		—		—		—
Issuance of common stock related to early exercised stock options	—	—		—	—		295	—		—		—		—		—
Vesting of shares upon early exercise of stock options	—	—		—	—		—	—		951		—		—		951
Conversion of Class B to Class A common stock	—	—		15,199	15		(15,199)	(15)		—						—
Stock-based compensation	—	—		—	—		—	—		24,196		—		—		24,196
Net loss	—	—		—	—		—	—		—		(40,853)		—		(40,853)
Other comprehensive income (loss)	—	—		—	—		—	—		—		—		7		7
Balance as of September 30, 2019	—	$	—	86,839	$	87	213,308	$	207	$	1,013,582	$	(273,551)	$	73	$	740,398


	Nine Months Ended September 30, 2020
	Redeemable convertible preferred stock			Class A common stock			Class B common stock			Additional paid-in capital		Accumulated deficit		Accumulated other comprehensive income		Total stockholders’ equity
	Shares	Amount		Shares	Amount		Shares	Amount
Balance as of December 31, 2019	—	$	—	87,072	$	87	213,101	$	207	$	1,027,179	$	(301,706)	$	61	$	725,828
Cumulative effect adjustment from adoption of ASC 842	—	—		—	—		—	—		—		556		—		556
Issuance of common stock in connection with acquisition	—	—		107	—		—	—		1,821		—		—		1,821
Issuance of unvested restricted stock in connection with acquisition	—	—		841	—		—	—		—		—		—		—
Issuance of common stock upon exercise of stock options	—	—		—	—		3,509	4		5,721		—		—		5,725
Repurchases of unvested common stock	—	—		(39)	—		—	—		—		—		—		—
Issuance of common stock related to early exercised stock options	—	—		—	—		78	—		—		—		—		—
Vesting of shares issued upon early exercise of stock options	—	—		—	—		—	2		3,649		—		—		3,651
Issuance of common stock related to settlement of RSUs	—	—		279	—		2,094	2		(2)		—		—		—
Tax withholding on RSU settlement	—	—		(11)	—		(410)	—		(7,606)		—		—		(7,606)
Conversion of Class B to Class A common stock	—	—		144,852	146		(144,852)	(146)		—		—		—		—
Equity component of convertible senior notes, net of issuance costs	—	—		—	—		—	—		200,812		—		—		200,812
Purchases of capped calls related to convertible senior notes	—	—		—	—		—	—		(67,333)		—		—		(67,333)
Common stock issued under employee stock purchase plan	—	—		421	—		—	—		5,447		—		—		5,447
Tax withholding on common stock issued under employee stock purchase plan	—	—		(13)	—		—	—		(376)		—		—		(376)
Stock-based compensation	—	—		—	—		—	—		42,762				—		42,762
Net loss	—	—		—	—		—	—		—		(85,349)		—		(85,349)
Other comprehensive income (loss)	—	—		—	—		—	—		—		—		509		509
Balance as of September 30, 2020	—	$	—	233,509	$	233	73,520	$	69	$	1,212,074	$	(386,499)	$	570	$	826,447


	Nine Months Ended September 30, 2019
	Redeemable convertible preferred stock			Class A common stock			Class B common stock			Additional paid-in capital		Accumulated deficit		Accumulated other comprehensive income (loss)		Total stockholders’ equity (deficit)
	Shares	Amount		Shares	Amount		Shares	Amount
Balance as of December 31, 2018	165,658	$	331,521	—	$	—	91,542	$	85	$	82,345	$	(195,878)	$	(57)	$	(113,505)
Issuance of common stock upon initial public offering, net of underwriting discounts and issuance costs	—	—		40,250	40		—	—		565,001		—		—		565,041
Conversion of redeemable convertible preferred stock to common stock upon initial public offering	(165,658)	(331,521)		31,381	31		134,277	135		331,355		—		—		331,521
Conversion of redeemable convertible preferred stock warrants into common stock warrants and issuance of common stock upon net exercise of common stock warrants	—	—		—	—		174	—		3,135		—		—		3,135
Issuance of common stock in connection with acquisition	—	—		—	—		7	—		18		—		—		18
Issuance of common stock upon exercise of stock options	—	—		9	1		1,689	2		2,899		—		—		2,902
Repurchases of unvested common stock	—	—		—	—		(73)	—		—		—		—		—
Issuance of common stock related to early exercised stock options	—	—		—	—		891	—		—		—		—		—
Vesting of shares issued upon early exercise of stock options	—	—		—	—		—	—		2,389		—		—		2,389
Conversion of Class B to Class A common stock	—	—		15,199	15		(15,199)	(15)		—		—		—		—
Stock-based compensation	—	—		—	—		—	—		26,440		—		—		26,440
Net loss	—	—		—	—		—	—		—		(77,673)		—		(77,673)
Other comprehensive income (loss)	—	—		—	—		—	—		—		—		130		130
Balance as of September 30, 2019	—	$	—	86,839	87		213,308	$	207	$	1,013,582	$	(273,551)	$	73	$	740,398


	Nine Months Ended September 30,
	2020		2019

Cash Flows From Operating Activities
Net loss	$	(85,349)	$	(77,673)
Adjustments to reconcile net loss to cash used in operating activities:
Depreciation and amortization expense	35,029		20,923
Non-cash operating lease costs	14,134		—
Amortization of deferred contract acquisition costs	12,085		7,722
Stock-based compensation expense	40,091		25,012
Amortization of debt discount and issuance costs	12,865		—
Net accretion of discounts and amortization of premiums on available-for-sale securities	248		(1,137)
Deferred income taxes	(6,808)		—
Provision for bad debt	2,794		861
Change in fair value of redeemable convertible preferred stock warrant liability	—		1,517
Other	(73)		27
Changes in operating assets and liabilities, net of effect of acquisitions:
Accounts receivable, net	(17,710)		(7,911)
Contract assets	(23)		82
Deferred contract acquisition costs	(24,615)		(12,923)
Prepaid expenses and other current assets	(6,131)		(7,525)
Other noncurrent assets	(930)		(1,686)
Accounts payable	4,648		(994)
Accrued expenses and other current liabilities	8,545		5,652
Operating lease liabilities	(15,131)		—
Deferred revenue	18,425		13,614
Other noncurrent liabilities	(410)		4,096
Net cash used in operating activities	(8,316)		(30,343)
Cash Flows From Investing Activities
Purchases of property and equipment	(45,962)		(30,981)
Capitalized internal-use software	(14,333)		(11,332)
Cash paid for acquisitions, net of cash acquired	(13,691)		—
Purchases of available-for-sale securities	(956,147)		(157,075)
Sales of available-for-sale securities	—		1,978
Maturities of available-for-sale securities	515,044		132,398
Other investing activities	395		30
Net cash used in investing activities	(514,694)		(64,982)
Cash Flows From Financing Activities
Proceeds from initial public offering, net of underwriting discounts and commissions	—		570,544
Gross proceeds from issuance of convertible senior notes	575,000		—
Purchases of capped calls related to convertible senior notes	(67,333)		—
Cash paid for issuance costs on convertible senior notes	(12,542)		—
Proceeds from the exercise of stock options	5,724		2,899
Proceeds from the early exercise of stock options	180		2,871
Repurchases of unvested common stock	(113)		(155)
Payments on note payable	(200)		(218)
Proceeds from the issuance of common stock for employee stock purchase plan	5,447		—
Proceeds from build-to-suit lease financing obligation drawdown	—		58
Payments of deferred offering costs	—		(3,734)
Payment of tax withholding obligation on RSU settlement	(7,607)		—
Payment of tax withholding obligation on common stock issued under employee stock purchase plan	(376)		—
Net cash provided by financing activities	498,180		572,265
Net increase (decrease) in cash, cash equivalents, and restricted cash	(24,830)		476,940
Cash, cash equivalents, and restricted cash, beginning of period	145,636		31,426
Cash, cash equivalents, and restricted cash, end of period	$	120,806	$	508,366
Supplemental Disclosure of Cash Flow Information:
Cash paid for interest	$	34	$	573
Cash paid for income taxes, net of refunds	$	623	$	1,013
Cash paid for operating lease liabilities	$	15,256	$	—
Supplemental Disclosure of Non-cash Investing and Financing Activities:
Stock-based compensation capitalized for software development	$	2,560	$	1,428
Accounts payable and accrued expenses related to property and equipment additions	$	4,076	$	1,291
Vesting of early exercised stock options	$	3,651	$	2,389
Deferred offering costs, accrued but not paid	$	—	$	1,770
Indemnity holdback consideration associated with business combinations	$	2,187	$	—
Issuance of common stock related to an acquisition	$	1,821	$	—
Operating lease right-of-use assets obtained in exchange for operating lease liabilities	$	7,975	$	—
Derecognition of build-to-suit lease	$	9,886	$	—
Conversion of redeemable convertible preferred stock to common stock	$	—	$	331,521
Conversion of redeemable convertible preferred stock warrant liability reclassified to additional paid-in capital	$	—	$	3,135


	Three Months Ended September 30,								Nine Months Ended September 30,
	2020				2019				2020				2019

	(in thousands)
	Amount		Percentage of Revenue		Amount		Percentage of Revenue		Amount		Percentage of Revenue		Amount		Percentage of Revenue
United States	$	59,277	52	%	$	37,605	51	%	$	151,970	50	%	$	101,571	50	%
Europe, Middle East, and Africa	27,943		25	%	17,652		24	%	76,961		25	%	48,275		24	%
Asia Pacific	19,634		17	%	13,993		19	%	55,827		18	%	39,782		20	%
Other	7,308		6	%	4,691		6	%	20,375		7	%	13,464		6	%
Total	$	114,162	100	%	$	73,941	100	%	$	305,133	100	%	$	203,092	100	%


(in thousands)									Reported as:
September 30, 2020	Amortized Cost		Unrealized Gain		Unrealized (Loss)		Fair Value		Cash & Cash Equivalents		Available-for-sale securities		Restricted Cash
Cash	$	15,100	$	—	$	—	$	15,100	$	12,913	$	—	$	2,187
Level I:
Money market funds	105,706		—		—		105,706		99,046		—		6,660
Level II:
Corporate bonds	153,123		192		(18)		153,297		—		153,297		—
U.S. treasury securities	623,532		474		(2)		624,004		—		624,004		—
U.S. government agency securities	25,667		7		(7)		25,667		—		25,667		—
Commercial paper	136,370		—		—		136,370		—		136,370		—
Subtotal	938,692		673		(27)		939,338		—		939,338		—
Total assets measured at fair value on a recurring basis	$	1,059,498	$	673	$	(27)	$	1,060,144	$	111,959	$	939,338	$	8,847


(in thousands)									Reported as:
December 31, 2019	Amortized Cost		Unrealized Gain		Unrealized (Loss)		Fair Value		Cash & Cash Equivalents		Available-for-sale securities		Long-term Restricted Cash
Cash	$	24,631	$	—	$	—	$	24,631	$	24,631	$	—	$	—
Level I:
Money market funds	32,856		—		—		32,856		26,196		—		6,660
Level II:
Corporate bonds	84,054		22		(30)		84,046		—		84,046		—
U.S. treasury securities	311,083		151		(23)		311,211		—		311,211		—
U.S. government agency securities	95,380		17		—		95,397		22,549		72,848		—
Commercial paper	95,467		—		—		95,467		65,600		29,867		—
Subtotal	585,984		190		(53)		586,121		88,149		497,972		—
Total assets measured at fair value on a recurring basis	$	643,471	$	190	$	(53)	$	643,608	$	138,976	$	497,972	$	6,660


	September 30, 2020		December 31, 2019

	(in thousands)
Property and equipment:
Servers—network infrastructure	$	114,564	$	84,979
Buildings	—		13,035
Construction in progress	13,525		8,692
Capitalized internal-use software	48,047		31,171
Office and computer equipment	18,870		13,528
Office furniture	6,736		6,124
Software	2,203		1,025
Leasehold improvements	11,472		9,870
Asset retirement obligation	429		231
Gross property and equipment	215,846		168,655
Less accumulated depreciation and amortization	(93,423)		(67,189)
Total property and equipment, net	$	122,423	$	101,466


	Estimated Amortization
	(in thousands)
Year ending December 31,
2020 (remaining three months)	$	700
2021	2,800
Total	$	3,500


	September 30, 2020
	(in thousands)
2020 (remaining three months)	$	4,703
2021	18,440
2022	14,083
2023	7,645
2024	4,094
Thereafter	452
Total lease payments	$	49,417
Less: Imputed interest	$	(2,477)
Total operating lease liabilities	$	46,940


	December 31, 2019
	(in thousands)
2020	$	18,618
2021	16,942
2022	12,423
2023	6,410
2024	4,474
Thereafter	10,304
Total lease payments	$	69,171


	September 30, 2020
	Gross Carrying Amount		Accumulated Amortization		Net Book Value

	(in thousands)
Developed technology	$	5,600	$	2,100	$	3,500
Total acquired intangible assets, net	$	5,600	$	2,100	$	3,500


	September 30, 2020
	(in thousands)
Principal	$	575,000
Unamortized debt discount	(193,034)
Unamortized debt issuance costs	(7,455)
Carrying amount of the liability component, net	$	374,511


	September 30, 2020
	(in thousands)
Proceeds allocated to the conversion option (debt discount)	$	205,290
Less: allocated issuance costs	(4,478)
Carrying amount of the equity component, net	$	200,812


	Payments Due by Period as of September 30, 2020
	Total		2020 (remaining three months)		2021		2022		2023		2024		Thereafter

	(in thousands)
Non-cancelable:
Open purchase agreements(1)	$	19,198	$	2,074	$	5,815	$	3,844	$	1,696	$	741	$	5,028
Bandwidth and other co-location related commitments(2)	45,365		6,039		20,765		10,151		4,368		1,793		2,249
Other commitments(3)	2,187		—		2,187		—		—		—		—
Total	$	66,750	$	8,113	$	28,767	$	13,995	$	6,064	$	2,534	$	7,277


	Stock Options Outstanding
	(in thousands, except year and per share data)
	Shares Subject to Options Outstanding	Weighted- Average Exercise Price per Option		Weighted- Average Remaining Contractual Terms (in years)	Aggregate Intrinsic Value
Balances as of December 31, 2019	21,191	$	2.30	7.4	$	312,720
Options granted	1,710	$	18.05
Options exercised	(3,587)	$	1.58		$	90,829
Options canceled/forfeited/expired	(249)	$	2.62
Balances as of September 30, 2020	19,065	$	3.85	7.2	$	709,484
Vested and expected to vest as of September 30, 2020	19,065	$	3.85	7.2	$	709,484
Exercisable as of September 30, 2020	17,361	$	2.46	7.0	$	670,147


	Restricted Stock and RSUs	Weighted-Average Grant Date Fair Value

	(in thousands, except per share data)
Unvested and outstanding as of December 31, 2019	6,508	$	11.08
Granted - RSUs	3,310	$	27.31
Granted - Restricted stock	949	$	17.06
Vested - RSUs	(1,723)	$	11.35
Vested - Restricted stock	(107)	$	17.06
Forfeited	(413)	$	12.55
Unvested as of September 30, 2020	8,524	$	16.18
Vested and not yet released	18	$	36.77
Outstanding as of September 30, 2020	8,542	$	16.22


	September 30,
	2020	2019

	(in thousands)
Convertible senior notes	15,363	—
Shares subject to repurchase	4,354	6,564
Unexercised stock options	19,065	21,878
Unvested restricted stock and RSUs	8,524	5,868
Shares issuable pursuant to the ESPP	228	412
Total	47,534	34,722


	Three Months Ended September 30,				Change				Nine Months Ended September 30,				Change
	2020		2019		$		%		2020		2019		$		%

	(dollars in thousands)
Revenue	$	114,162	$	73,941	$	40,221	54	%	$	305,133	$	203,092	$	102,041	50	%


	Payments Due by Period as of September 30, 2020
	Total		Less than 1 Year		1-3 Years		3-5 Years		More than 5 Years

	(in thousands)
Non-cancelable:
Open purchase agreements(1)	$	19,198	$	2,074	$	9,659	$	2,437	$	5,028
Bandwidth and other co-location related commitments(2)	45,365		6,039		30,916		6,161		2,249
Operating lease obligations(3)	64,532		4,765		34,309		14,373		11,085
0.75% Convertible Senior Notes Due May 2025	575,000		—		—		575,000		—
Interest obligations(4)	19,933		1,078		8,625		8,625		1,605
Other commitments(5)	2,187		—		2,187		—		—
Total	$	726,215	$	13,956	$	85,696	$	606,596	$	19,967



	CLOUDFLARE, INC.

Date: November 10, 2020	By:	/s/ Matthew Prince
		Matthew Prince
		Chief Executive Officer
		(Principal Executive Officer)

Date: November 10, 2020	By:	/s/ Thomas Seifert
		Thomas Seifert
		Chief Financial Officer
		(Principal Financial Officer)

Date: November 10, 2020	By:	/s/ Paul Underwood
		Paul Underwood
		Chief Accounting Officer
		(Principal Accounting Officer)