How much of UiPath’s revenue comes from haram?

UiPath earns its revenue from the following revenue sources:

  • Licenses:

UiPath offers an open-source platform that enables users to automate various aspects of business processes.

UiPath’s robotic process automation solutions include debugging tools, application programming interface automation, wizards to automate desktop or web applications, and machine learning integration models for workflows.

The company sells term and perpetual licenses for the right to use its software. 

  • Maintenance and Support:

Includes technical support solutions.

  • Services and Other:

Includes professional services associated with process automation, customer education, and training services. 

The contributions from each of UiPath’s revenue segments in the company’s Form S-1 filed on April 19, 2021, were as follows:

Practical Islamic Finance concludes:

None of UiPath’s revenue comes from anything inherently haram.

Does UiPath rely on interest to operate?

According to the company’s Form S-1 filed with the Securities and Exchange Commission on April 19, 2021 (Numbers in thousands, U.S. dollars):

Interest Income: $1,152

Total Revenue: $607,643

Interest Expense: $0

Total Expenses: $717,966

Interest Income / Revenue: 0.19%

Interest Expense / Total Expense: 0%

Practical Islamic Finance concludes:

Riba is used but not relied upon in UiPath’s operations.

What is UiPath’s Environmental, Social, and Governance (ESG) impact?

Environment

No notable environmental highlights.

Social

According to UiPath, the UiPath Foundation distributed 1M meals in India to children and families impacted by Covid-19.

In addition, the company donated around 2.5 tons of clothes and school supplies and 1.3 tons of disinfection and protection products in 2020.

UiPath has a high Glassdoor rating of 4.1 out of 5.0 from over 400 current and previous employees compared to a 3.3 average for all other Glassdoor rated companies.

Governance

No notable governance highlights.

Practical Islamic Finance concludes:

UiPath has a net positive ESG impact.

Comfort Rating

From UiPath’s business, financial, and ESG reviews, Practical Islamic Finance rates UiPath stock as:

Comfortable to invest in from a Halal perspective.

Sources

Form S-1/A 

UiPath Foundation – We empower children and their communities to take ownership of their path to the future. 

UiPath Reviews

Introduction to UiPath in Robotic Process Automation (RPA)