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Dec 31, 2022

HubSpot Q4 2022 Earnings Report

HubSpot's Q4 2022 financial results were announced, showcasing revenue growth and strategic business adjustments.

Key Takeaways

HubSpot reported a 27% increase in total revenue for Q4 2022, reaching $469.7 million. Subscription revenue drove the growth, increasing by 28% to $458.2 million. The company's GAAP net loss was $15.6 million, while non-GAAP net income was $56.8 million.

Total revenue increased by 27% compared to Q4 2021, reaching $469.7 million.

Subscription revenue grew by 28% to $458.2 million.

GAAP net loss was ($15.6) million, or ($0.32) per share.

Non-GAAP net income was $56.8 million, or $1.11 per diluted share.

Total Revenue
$470M
Previous year: $369M
+27.2%
EPS
$1.11
Previous year: $0.58
+91.4%
Total Customers
167.39K
Previous year: 135.44K
+23.6%
ARPU
$11.2K
Previous year: $10.9K
+3.3%
Gross Profit
$389M
Previous year: $298M
+30.8%
Cash and Equivalents
$331M
Previous year: $377M
-12.2%
Free Cash Flow
$70.9M
Previous year: $78.3M
-9.5%
Total Assets
$2.54B
Previous year: $2.17B
+17.0%

HubSpot

HubSpot

HubSpot Revenue by Segment

Forward Guidance

HubSpot provided guidance for Q1 2023 and full year 2023, including revenue and non-GAAP operating income estimates.

Positive Outlook

  • Q1 2023 total revenue is expected to be in the range of $473.0 million to $475.0 million.
  • Full year 2023 total revenue is expected to be in the range of $2.050 billion to $2.060 billion.
  • Q1 2023 Non-GAAP operating income is expected to be in the range of $45.0 million to $47.0 million.
  • Full year 2023 Non-GAAP operating income is expected to be in the range of $248.0 million to $252.0 million.
  • Q1 2023 Non-GAAP net income per common share is expected to be in the range of $0.82 to $0.84.

Challenges Ahead

  • Unfavorable foreign exchange rates are expected to be a 4 point headwind to first quarter 2023 revenue growth.
  • Unfavorable foreign exchange rates are expected to be a one point headwind to full year 2023 revenue growth.
  • The impact of restructuring charges are excluded from non-GAAP operating income and non-GAAP net income per common share business outlook.
  • Q1 2023 assumes approximately 51.5 million weighted average diluted shares outstanding.
  • Full year 2023 assumes approximately 52.2 million weighted average diluted shares outstanding.

Revenue & Expenses

Visualization of income flow from segment revenue to net income