Sep 30, 2022

FiscalNote Q3 2022 Earnings Report

Revenue increased by 34% year-over-year, reflecting strong annual recurring revenue and successful execution of the company's growth strategy.

Key Takeaways

FiscalNote reported a 34% increase in revenue to $29.1 million for Q3 2022, driven by strong annual recurring revenue. The company's GAAP net loss was $109 million, which included non-cash items related to its public listing. They reiterate that they remain on track to achieve positive Adjusted EBITDA in the fourth quarter of 2023.

Revenue increased 34% to $29.1 million compared to Q3 2021.

Gross profit was $20.3 million representing 70% gross margin.

GAAP net loss of $109 million including non-cash charges related to the company's public listing.

ARR rose to $108 million at September 30, 2022 inclusive of businesses acquired in 2022.

Total Revenue
$29.1M
Previous year: $58.5M
-50.3%
EPS
-$0.75
Previous year: -$20.9
-96.4%
Run Rate Revenue
$121M
Annual Recurring Revenue
$108M
Net Revenue Retention
99%
Gross Profit
$29.1M
Previous year: $58.5M
-50.3%
Cash and Equivalents
$78.8M
Previous year: $98.7K
+79766.2%
Total Assets
$450M
Previous year: $176M
+156.5%

FiscalNote

FiscalNote

FiscalNote Revenue by Segment

Forward Guidance

FiscalNote provided guidance for full year 2022 with GAAP revenue of $112 million to $114 million, representing 36% year-over-year growth at the midpoint. Organic Run-Rate Revenue of $122 million to $126 million, indicating growth of approximately 13% year-over-year at the midpoint on a proforma basis. Adjusted EBITDA loss of $24 million to $22 million or approximately $23 million at the midpoint. In addition, the Company reiterated that it remains on track to achieve positive Adjusted EBITDA in the fourth quarter of 2023.

Positive Outlook

  • GAAP revenue of $112 million to $114 million, representing 36% year-over-year growth at the midpoint.
  • Remains on track to achieve positive Adjusted EBITDA in the fourth quarter of 2023

Challenges Ahead

  • Organic Run-Rate Revenue of $122 million to $126 million, indicating growth of approximately 13% year-over-year at the midpoint on a proforma basis. This new range better reflects a weakened macroeconomic environment and a commitment to capital efficient growth.
  • Adjusted EBITDA loss of $24 million to $22 million or approximately $23 million at the midpoint, which is consistent with guidance the Company previously provided.