Mon, Jun 9, 8:09 PM (13 days ago)
### Yext, Inc. (YEXT) Q1 2025 Financial Performance Summary **Revenue & Profit Margins:** - **Revenue:** $109.5 million, up 14% YoY, driven by Hearsay acquisition. - **Gross Margin:** 75.2%, down from 77.6% YoY due to increased amortization and royalties. - **Net Income:** $0.8 million, compared to a net loss of $3.8 million YoY. **Operating Expenses:** - **Sales & Marketing:** $36.2 million, down 16% YoY due to lower headcount. - **Research & Development:** $21.9 million, up 28% YoY due to higher headcount. - **General & Administrative:** $23.2 million, up 18% YoY due to contingent consideration changes. **Cash Flow:** - **Operating Cash Flow:** $37.7 million, reflecting adjustments for stock-based compensation and depreciation. - **Investing Cash Flow:** -$19.4 million, primarily due to Places Scout acquisition. - **Financing Cash Flow:** -$29.0 million, mainly from share repurchases. **Debt & Liquidity:** - **Credit Facility:** $50.0 million revolving loan, with $36.8 million available. - **New Credit Agreement:** $200.0 million term loan with BlackRock, maturing in 2030. **Key Metrics:** - **ARR:** $446.5 million, up 15% YoY. - **Dollar-Based Net Retention Rate:** 95% for direct customers, 96% for third-party resellers. - **Dollar-Based Gross Retention Rate:** 87% for direct customers, 88% for third-party resellers. **Trends & Uncertainties:** - **Macroeconomic Conditions:** Inflation, interest rates, and geopolitical events may impact revenue. - **Acquisitions:** Hearsay and Places Scout acquisitions to enhance competitive intelligence and AI insights. - **Future Operations:** Focus on integrating acquisitions, scaling infrastructure, and developing new features. **Impact:** - **Positive:** Strong ARR growth and strategic acquisitions. - **Negative:** Increased operating expenses and potential macroeconomic uncertainties. **Conclusion:** Yext's Q1 2025 shows revenue growth driven by acquisitions, but with increased expenses and potential macroeconomic risks. The company is focusing on integration and innovation to maintain growth and competitiveness.