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Jun 30
Sprout Social Q2 2025 Earnings Report
Sprout Social reported strong financial results for the second quarter ended June 30, 2025, with significant revenue growth and improved profitability.
Key Takeaways
Sprout Social delivered strong results in the second quarter of 2025, achieving 12% revenue growth and solid profitability. The company reported total revenue of $111.8 million, a GAAP operating loss of ($12.3) million, and a GAAP net loss of ($12.0) million. Non-GAAP operating income was $10.3 million and non-GAAP net income was $10.7 million. The company also saw growth in its customer base, particularly those contributing over $50,000 in ARR.
Total revenue reached $111.8 million, marking a 12% increase compared to the second quarter of 2024.
Non-GAAP operating income significantly improved to $10.3 million, up from $5.3 million in the prior year's quarter.
Non-GAAP net income per share increased to $0.18, compared to $0.09 in the second quarter of 2024.
The number of customers contributing over $50,000 in ARR grew by 18% year-over-year to 1,826 customers.
Sprout Social
Sprout Social
Sprout Social Revenue by Segment
Revenue by Segment
Subscription Revenue
CapyFin.comProfessional services and other Revenue
CapyFin.com Forward Guidance
For the third quarter of 2025, Sprout Social expects total revenue between $114.4 million and $115.2 million, non-GAAP operating income between $9.3 million and $10.3 million, and non-GAAP net income per share between $0.15 and $0.16. For the full year 2025, the company anticipates total revenue between $452.9 million and $455.9 million, non-GAAP operating income between $43.1 million and $45.1 million, and non-GAAP net income per share between $0.71 and $0.75.
Positive Outlook
- Expected continued revenue growth in Q3 2025, with a range of $114.4 million to $115.2 million.
- Anticipated increase in non-GAAP operating income for Q3 2025, projected between $9.3 million and $10.3 million.
- Forecasted positive non-GAAP net income per share for Q3 2025, ranging from $0.15 to $0.16.
- Strong full-year 2025 revenue guidance, expected between $452.9 million and $455.9 million.
- Positive full-year 2025 non-GAAP operating income guidance, projected between $43.1 million and $45.1 million.
Challenges Ahead
- Guidance is based on assumptions subject to change and outside the company's control, potentially leading to variations in actual results.
- The company does not provide GAAP guidance for operating loss or net loss per share, making direct comparisons difficult.
- Unavailability of reliable estimates for certain items makes reconciliation of non-GAAP to GAAP measures challenging without unreasonable effort.
- Future financial results could be significantly impacted by items not within the company's control.
- No assurance that the company will achieve the projected results.
Revenue & Expenses
Visualization of income flow from segment revenue to net income