Performance monitoring company New Relic posted revenue of $98.4 million during its fourth quarter of fiscal 2018, a 34 percent year-over-year increase. Additionally, it reported $355.1 million in fiscal 2018 revenue, a 35 percent increase from fiscal 2017.

New Relic’s Non-GAAP net income for the fourth quarter was $4.8 million. It posted an operating loss of $5.8 million in income during the same quarter in fiscal 2017.

The company’s CEO Lew Cirne attributed this growth to the market’s overall adoption of software-driven business models — and the resulting increase in companies’ monitoring and visibility needs. He also credited New Relic’s integrations and innovations, as well as an enhanced focus on technology research and development.

BMO Capital Market analyst Keith Bachman, in a research note, wrote that “we believe the company can sustain near 30 percent growth for the next few years. As we have written previously, we think a key to New Relic’s growth is increasing average revenue per customer.”

Both New Relic’s enterprise and small-business revenue saw record growth in the full fiscal year. It reported that enterprise business accounted for 54 percent of accounting rate of return (ARR); non-APM products account for 28 percent of ARR; and its new infrastructure product delivered 10 percent of net new ARR.

New Relic has an infrastructure and application monitoring platform, and it has an analytics platform. In the earnings call, executives called out a number of new features that contributed to the value and growth of both products. This included adding machine learning, predictive analytics, and Health Map to help visualize the correlations between an end-user’s applications and infrastructure.

In fiscal year 2019, New Relic plans to accelerate its R&D investments, primarily in an effort to meet its $1 billion revenue target by the end of fiscal 2022. Cirne pointed to modern environments and infrastructures, such as serverless computing and containers, as the need for this investment.

“It's very hard for more traditional tools to not only watch that infrastructure, but even more importantly, show the relationship between the application and the dynamic infrastructure that one's in,” said Cirne, according to a Seeking Alpha transcript of the call.

In its fiscal fourth quarter 2018, bookings grew 44 percent year over year to around $153 million. Customer wins included Blue Cross Blue Shield, Expedia, Porsche AG, and SAP Concur — as well as a new reseller partnership with IBM. IBM announced in the last quarter that it would resell the New Relic monitoring platform.

Two changes were made to executive leadership in the quarter. Erica Schultz, who built the New Relic enterprise business four years ago, was promoted to chief revenue officer. And Roger Scott was promoted to EVP and chief customer officer, a new role for the company as it aims to grow its technical sales organization.