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Mar 31, 2025
Globant Q1 2025 Earnings Report
Globant reported modest growth in Q1 2025 with stable margins and continued investment in AI and innovation.
Key Takeaways
Globant achieved $611.1M in revenue and maintained healthy profitability amid macroeconomic challenges. The company emphasized its strategic focus on AI and a robust client pipeline for future growth.
Revenue reached $611.1M, growing 7.0% YoY.
Adjusted diluted EPS held strong at $1.50 despite macro pressures.
Gross profit margin remained steady; adjusted margin was 38.0%.
Client base expanded with 341 customers generating over $1M annually.
Revenue by Geographic Location
Forward Guidance
Globant projects sequential growth in Q2 and continued margin strength for FY25.
Positive Outlook
- Q2 2025 revenue expected to reach at least $612.0M.
- Q2 adjusted operating margin forecasted at minimum 15.0%.
- Q2 adjusted EPS guidance at or above $1.52.
- FY25 revenue outlook of at least $2.464B, up 2.0% YoY.
- Sustained emphasis on AI innovation and margin discipline.
Challenges Ahead
- FX-neutral growth in Q2 suggests limited acceleration.
- IFRS EPS dropped from $1.02 to $0.68 YoY in Q1.
- Net income decreased 32% compared to Q1 2024.
- Cash flow from operations was modest at $15.7M.
- Free cash flow was negative due to high capital expenditures.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
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