According to a Statista report, the global Enterprise mobility management (EMM) market is expected to grow to $3.39 billion by the year 2021 from $1.86 billion in 2017. Another report by Strategy Analytics has more conservative estimates for the sector. The researcher estimates that the market will grow to $2.2 billion by 2022 from $1.8 billion in 2017. The EMM market is dominated by VMware AirWatch, which accounts for 19% market share. MobileIron (Nasdaq: MOBL) is third in the industry with 10% market share.

MobileIron’s Financials

Mountain View-based MobileIron’s platform helps deliver secure mobile applications for organizations by allowing them to manage applications, content, and devices while promoting the Bring Your Own Device environment.

The company recently reported its second quarter performance where revenues grew 7% over the year to $46.1 million, ahead of the Street’s forecast of $45.2 million. It ended the quarter with a net loss of $18.6 million, or $0.12 per share, compared with a loss of $12 million reported a year ago. On an adjusted basis, it reported a loss of $0.04 per share, which was better than the market’s estimate of a loss of $0.07 per share.

By segment, MobileIron’s license revenues fell 6% to $13.88 million while cloud services revenues grew 24% to $11.83 million. Software support and services revenues grew 9% to $20.4 million for the quarter.

For the current quarter, MobileIron expects revenues of $47-$50 million. It expects to end the year with revenues of $190-$200 million. The analysts were forecasting revenues of $48.7 million for the quarter and $194 million for the year.

MobileIron’s Product Expansion

During the quarter, MobileIron added Authenticator to its Access cloud security solution. Authenticator is a new mobile application that allows organizations to verify a user’s identity while using the phone as a second authentication factor. The Authenticator replaces traditional hardware and software token devices with the user’s mobile device. By adding the Authenticator, MobileIron Access cloud security solution has been able to integrate muti-factor authentication (MFA) policies into its security workflow.

MobileIron has been expanding its reach through tie-ups with large go-to-market partners. It recently integrated with McAfee’s ePolicy Orchestrator ePO, which is used by organizations to define and monitor security policies across more than 50 million endpoints. Prior to the integration, an administrator using ePO could only monitor laptops and desktops. With the integration, administrators will be able to monitor mobile devices running Android and iOS as well.

Earlier this year, MobileIron also announced a tie-up with Google to launch a cloud services store that will help app developers with branding, billing, secure cloud access, and analytics. The service was expected to be launched before the end of the year, and will initially target phone companies like AT&T and Deutsche Telecom, which sell cloud services to their customers.

MobileIron’s products have received strong recognition in the market. For the last seven consecutive years, it has been a leader in Gartner’s Magic Quadrant for Enterprise Mobility Management Suites. Recently, it was also named the leader in Gartner’s first Magic Quadrant for unified endpoint management tools.

But let’s hear from the users. How do they find the Authenticator feature? What additional features do they expect MobileIron to deliver?

Despite the product recognition, MobileIron’s stock hasn’t delivered very highly. Its stock is trading at $5.05 with a market capitalization of $519 million. The stock had climbed to a 52-week high of $5.30 in April this year. It has recovered from the 52-week low of $3.20 that it had fallen to in November last year. The stock’s price is still a far cry from its 2014 list price of $9. Prior to listing, MobileIron had raised $147.6 million from investors including Northgate Capital, Storm Ventures, Sequoia Capital, Norwest Venture Partners, and Foundation Capital.