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Mar 31, 2023

LiveRamp Q4 2023 Earnings Report

LiveRamp's financial performance for Q4 2023 reflected a 5% revenue increase and strategic investments in data collaboration.

Key Takeaways

LiveRamp reported Q4 revenue of $149 million, a 5% increase year-over-year, with subscription revenue contributing 81% of the total. The company accelerated vesting of restricted stock units, impacting GAAP operating loss. CEO Scott Howe highlighted the company's focus on efficiency and momentum in data collaboration.

Total revenue increased by 5% to $149 million.

Subscription revenue grew by 5% to $121 million, representing 81% of total revenue.

GAAP operating loss was $47 million, while non-GAAP operating income was $14 million.

The company added 10 net new direct subscription customers, bringing the total to 920.

Total Revenue
$149M
Previous year: $142M
+4.9%
EPS
$0.32
Previous year: -$0.01
-3300.0%
Subscription Net Retention
97%
Previous year: 111%
-12.6%
Platform Net Retention
99%
Previous year: 110%
-10.0%
Gross Profit
$105M
Previous year: $102M
+2.8%
Cash and Equivalents
$464M
Previous year: $600M
-22.6%
Total Assets
$1.17B
Previous year: $1.33B
-12.1%

LiveRamp

LiveRamp

LiveRamp Revenue by Segment

Forward Guidance

LiveRamp provided revenue and operating income guidance for Q1 2024 and full fiscal year 2024.

Positive Outlook

  • Q1 2024 revenue is expected to be approximately $147 million, a 3% year-over-year increase.
  • Q1 2024 non-GAAP operating income is expected to be approximately $15 million.
  • Fiscal year 2024 revenue is expected to be between $610 million and $620 million, a 2% to 4% year-over-year increase.
  • Fiscal year 2024 GAAP operating income is expected to be between $3 million and $6 million.
  • Fiscal year 2024 non-GAAP operating income is expected to be between $90 million and $93 million.

Challenges Ahead

  • Q1 2024 GAAP operating loss is expected to be approximately $8 million.
  • Rising interest rates
  • Cost increases
  • Possibility of a recession
  • General inflationary pressure

Revenue & Expenses

Visualization of income flow from segment revenue to net income