Dyn, a twelve-year-old company offering managed DNS, just hired its first CFO about a year after raising $38 million and after growing from 200 people this time last year to 300 today. The Manchester, N.H.-based company hired Tim O’Toole (pictured) the former CFO of Rapid7. While at that company, O’Toole helped raised a $50 million Series C round and negotiated multiple acquisitions.
So while Dyn CEO Jeremy Hitchcock says that he and his COO managed to raise last year’s funding without a CFO, it became a job that needed filling as the company grew. Hitchcock says Dyn’s revenue is in “the $40 millions” and that it isn’t profitable this year. However, the company has made a few acquisitions and plans to make more with one being announced within the next few months.
The expansion is part of Dyn’s plans to focus on its newer business offerings, delivering email and improving web performance for clients. However, the bulk of its revenue (around 90 percent) still comes from its managed DNS products. A client hires Dyn to make sure that when a client’s customers type in the client’s domain, it resolves as quickly as possible. To do this, they point their domain name to Dyn’s servers. A client can trust their domain name registrar to do this, but increasingly that can leave them vulnerable to security issues and the slower refresh rates.
Because DNS sits in the middle of how people access the internet, Dyn is also looking toward adding more performance management services, something that’s becoming a bigger issue as enterprises bring in outside IT services hosted in the cloud. “We’re in the middle of a lot of how the internet works,” Hitchcock said. “Making sure there is excellent uptime around performance, offering geographic routing and monitoring traffic is another way we can serve our customers.”
For now, the largest adjunct to the managed DNS service though, is delivering email, which represent about 10 percent of Dyn’s revenue. Both O’Toole and Hitchcock were cagey about the company’s plans to expand in this space and eventual plans for the business. For example, when asked about an initial public offering O’Toole just said, “Everything’s on the table.”