•
Jun 30, 2020

Tyler Q2 2020 Earnings Report

Reported a decrease in revenue but an increase in operating income and net income for Q2 2020.

Key Takeaways

Tyler Technologies reported a slight decrease in total revenues, but experienced significant growth in operating income, net income, and cash flows from operations. The company's recurring revenues remained strong, and despite challenges related to the COVID-19 pandemic, Tyler ended the quarter with a record backlog.

Total revenues decreased by 1.5% year-over-year to $271.1 million.

Operating income increased by 12.8% year-over-year to $41.3 million.

Net income increased by 68.4% year-over-year to $53.9 million, or $1.30 per diluted share.

Cash flows from operations increased by 62.5% year-over-year to $39.8 million.

Total Revenue
$271M
Previous year: $278M
-2.4%
EPS
$1.38
Previous year: $1.3
+6.2%
Organic Revenue Growth
-1.9%
Gross Profit
$131M
Previous year: $128M
+2.6%
Cash and Equivalents
$351M
Previous year: $11.2M
+3040.6%
Free Cash Flow
$32.9M
Previous year: $12.8M
+157.7%
Total Assets
$2.38B
Previous year: $1.95B
+22.2%

Tyler

Tyler

Tyler Revenue by Segment

Forward Guidance

Tyler Technologies provided guidance for the full year 2020, including GAAP and non-GAAP total revenues, diluted earnings per share, pre-tax non-cash share-based compensation expense, research and development expense, fully diluted shares, effective tax rates, and capital expenditures.

Positive Outlook

  • GAAP total revenues are expected to be in the range of $1.124 billion to $1.144 billion.
  • Non-GAAP total revenues are expected to be in the range of $1.125 billion and $1.145 billion.
  • GAAP diluted earnings per share are expected to be in the range of $4.71 to $4.91.
  • Non-GAAP diluted earnings per share are expected to be in the range of $5.30 to $5.50.
  • Research and development expense is expected to be in the range of $90 million to $92 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income