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Dec 31, 2019

Workiva Q4 2019 Earnings Report

Reported a revenue increase driven by subscription growth and investments in key areas.

Key Takeaways

Workiva announced Q4 2019 financial results with a 24.6% increase in total revenue compared to Q4 2018. Subscription and support revenue grew by 23.0% year-over-year. The company's customer base reached 3,510, and revenue retention rate including add-on revenue was 113.0%.

Total revenue for the fourth quarter of 2019 reached $80.3 million, an increase of 24.6% from the fourth quarter of 2018.

Subscription and support revenue contributed $66.1 million, up 23.0% versus the fourth quarter of 2018.

Workiva had 3,510 customers as of December 31, 2019, a net increase of 170 customers from December 31, 2018.

Revenue retention rate including add-on revenue was 113.0%.

Total Revenue
$80.3M
Previous year: $64.4M
+24.6%
EPS
-$0.09
Previous year: -$0.174
-48.2%
Customers
3.51K
Previous year: 3.34K
+5.1%
Revenue Retention Rate
113%
Previous year: 107%
+5.6%
Customers ACV > 100k
652
Previous year: 443
+47.2%
Gross Profit
$57.2M
Cash and Equivalents
$382M
Free Cash Flow
$1.74M
Total Assets
$646M

Workiva

Workiva

Workiva Revenue by Segment

Forward Guidance

Workiva is providing guidance for its first quarter 2020 and full year 2020.

Positive Outlook

  • Total revenue is expected to be in the range of $82.8 million to $83.3 million for Q1 2020.
  • GAAP loss from operations is expected to be in the range of $17.6 million to $18.1 million for Q1 2020.
  • Non-GAAP loss from operations is expected to be in the range of $7.0 million to $7.5 million for Q1 2020.
  • GAAP net loss per basic and diluted share is expected to be in the range of $0.39 to $0.40 for Q1 2020.
  • Non-GAAP net loss per basic and diluted share is expected to be in the range of $0.12 to $0.13 for Q1 2020.

Challenges Ahead

  • Total revenue is expected to be in the range of $341.5 million to $343.5 million for FY 2020.
  • GAAP loss from operations is expected to be in the range of $79.7 million to $81.7 million for FY 2020.
  • Non-GAAP loss from operations is expected to be in the range of $36.0 million to $38.0 million for FY 2020.
  • GAAP net loss per basic and diluted share is expected to be in the range of $1.72 to $1.76 for FY 2020.
  • Non-GAAP net loss per basic and diluted share is expected to be in the range of $0.63 to $0.67 for FY 2020.

Revenue & Expenses

Visualization of income flow from segment revenue to net income