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Dec 31, 2024

Alkami Tech Q4 2024 Earnings Report

Alkami reported strong revenue growth and improved profitability in Q4 2024.

Key Takeaways

Alkami Technology, Inc. achieved strong revenue growth of 25.6% year-over-year, reaching $89.7 million. The company's net loss narrowed to $7.6 million, improving from a $12.7 million loss in the prior-year quarter. Adjusted EPS came in at $0.11, and Adjusted EBITDA increased significantly to $10.2 million, up from $3.1 million in Q4 2023.

Revenue increased 25.6% year-over-year to $89.7 million.

GAAP net loss improved to $7.6 million from $12.7 million in the previous year.

Adjusted EPS was $0.11 for the quarter.

Adjusted EBITDA rose significantly to $10.2 million from $3.1 million in Q4 2023.

Total Revenue
$89.7M
Previous year: $71.4M
+25.6%
EPS
$0.11
Previous year: $0.02
+450.0%
GAAP Gross Margin
59.3%
Previous year: 56%
+5.9%
Adjusted EBITDA
$10.2M
Previous year: $3.1M
+229.0%
Annual Recurring Revenue
$356M
Previous year: $291M
+22.3%
Gross Profit
$53.2M
Previous year: $39.9M
+33.2%
Cash and Equivalents
$94.4M
Previous year: $40.9M
+130.6%
Total Assets
$437M
Previous year: $400M
+9.4%

Alkami Tech

Alkami Tech

Forward Guidance

Alkami expects continued strong growth in 2025, with projected revenue increases and positive Adjusted EBITDA.

Positive Outlook

  • First quarter 2025 revenue expected between $93.5 million and $95.0 million.
  • Full-year 2025 revenue projected between $440.0 million and $445.0 million.
  • Adjusted EBITDA for 2025 expected to range from $47.0 million to $51.0 million.
  • Acquisition of MANTL expected to contribute $30 million in revenue starting Q2 2025.
  • Annual recurring revenue under contract for MANTL expected to grow over 30% in 2025.

Challenges Ahead

  • MANTL acquisition will result in a $5 million Adjusted EBITDA loss in 2025.
  • GAAP net losses may persist due to acquisition-related expenses.
  • Revenue growth remains subject to market conditions and financial institution adoption.
  • Integration of MANTL presents operational challenges.
  • Stock-based compensation expenses continue to impact profitability.