Rapid7 (RPD) Citi’s 2026 Global TMT Conference summary

Strategic and organizational changes

• Significant management overhaul with new CEO, head of product/technology, and sales/marketing leadership in the past year.

• Executive changes have led to sharper alignment, clearer goals, and improved internal communication.

• Workforce restructuring impacted about 12% of employees, with a hiring freeze preceding it; cost savings are being reinvested in product and engineering.

• Stabilization efforts are most advanced in sales/marketing, with measurable increases in rep productivity.

• Ongoing focus on data management and clarity in business reporting to support decision-making and investor transparency.

Portfolio strategy and business segmentation

• Business now segmented into core (D&R and exposure management) and non-core offerings, with core representing over 80% of revenue.

• D&R business is over 55% of revenue and growing at approximately 5%, with strong future growth potential.

• Non-core offerings are being managed for efficiency, with efforts to migrate customers to core solutions.

• AI and platform unification are central to enhancing both D&R and exposure management, aiming for real-time, automated security operations.

• Decline in non-core is expected to continue for several quarters, but transparency in reporting allows investors to track progress.

Technology, product, and market opportunities

• Acquisition of Kenzo enhances rapid data ingestion and alert management, supporting platform integration.

• AI-driven vulnerability discovery has commoditized some aspects, shifting value to prioritization and remediation.

• Exposure management market opportunity is larger and more complex than traditional vulnerability management, with focus on capturing greater customer share.

• Command Platform strategy aims to unify datasets and automate SOC operations, improving customer outcomes.

• Managed detection and response (MDR) is a key growth area, with investments in automation and software-like margins.