Yext Q4 2024 Earnings Report
Key Takeaways
Yext's Q4 revenue exceeded guidance, driven by strong reseller billings and one-time services, despite a 1% decrease year-over-year. The company achieved its first-ever quarterly GAAP net income and saw a significant increase in Adjusted EBITDA.
Q4 revenue exceeded guidance, primarily due to higher than anticipated billings from Resellers and one-time Services.
Delivered solid profitability, with GAAP net income of $1.7 million.
Adjusted EBITDA of $14.8 million for the quarter, up 36% from the same quarter of the prior year.
The company saw significantly greater lead volume year-over-year, which resulted in higher pipeline creation.
Yext
Yext
Forward Guidance
Yext anticipates revenue between $96.0 to $96.5 million and Adjusted EBITDA between $9.5 million to $10.0 million for the first quarter of fiscal year 2025. For the full fiscal year 2025, revenue is projected to be in the range of $400.0 million to $402.0 million and Adjusted EBITDA is projected to be in the range of $60.0 million to $62.0 million.
Positive Outlook
- Driving more value through our core products.
- Achieving best-in-class customer satisfaction.
- Capitalizing on our robust pipeline.
- Growing effective sales capacity through continued productivity gains.
- Continue to serve our new and existing customers well, we believe they will grow with us over time.
Challenges Ahead
- Our outlook factors in the impact of the large customer churn, which we calculate to be approximately $10.8 million in ARR.
- Our outlook also includes our assumptions for the continuing effects of a challenging macroeconomic environment.
- We cannot predict or control the macro-economic impact of ongoing uncertainty, and we observe our customers continue to take a cautious stance on new investments and are carefully examining each investment.
- Our outlook for fiscal 2025 assumes a similar market environment to what we saw last year at this time.
- Conditions aren't worsening.