Software provider of customer involvement Braze (Nasdaq: Brze) defeated Wall Street’s turnover expectations in Q4 Cy2024, with a turnover of 22.5% years after year to $ 160.4 million. The company expects the turnover of the next quarter to be around $ 158.5 million, close to the estimates of analysts. The non-Gaap profit of $ 0.12 per share was considerably above the consensus estimates of analysts.
Is it time to buy Braze now? Discover it in our full research report.
Gain: $ 160.4 million versus analyst estimates of $ 155.7 million (growth of 22.5% on an annual basis, 3% beat)
Custom EPS: $ 0.12 versus analyst estimates of $ 0.05 (significant beat)
Adapted business income: $ 7.95 million versus analysts of $ 2.50 million (5% margin, significant beat)
Management income guidance For the coming financial Year 2026 is $ 688.5 million at the center, in accordance with the expectations of the analysts and the implication of 16% growth (versus 26.2% in FY2025)
Custom EPS guidelines for the coming financial year 2026 is $ 0.33 at the center, with the estimates of the analysts being beaten by 13.4%
Business margin: -13.4%, an increase of -24.7% in the same quarter last year
Free cash flow was $ 15.21 million, an increase of -$ 14.25 million in the previous quarter
Customers: 2,296, against 2,211 in the previous quarter
Net sales rate: 111%, a decrease of 113% in the previous quarter
Billings: $ 176.8 million at the end of the quarter, an increase of 12.8% year after year
Market capitalization: $ 3.86 billion
“Fiscal 2025 was a milestone year for Braze that reinforced our position as the leading customer involvement platform by means of robust customer growth and continuous progress in our product, including meaningful new investments in AI and Machine Learning. We grew with 26% income, while we have a strong operational leverage and the boom functioning Non-Gaap income profit, “said Bill Magnuson, CEO of Braze.
Braze (Nasdaq: Brze) was founded in 2011 after the co-founders at NYC Disrupt Hackathon, Braze (Nasdaq: Brze), a software platform for customer involvement with which brands can make contact with customers through data-driven and contextual marketing campaigns.
Whether companies market their products via social media, all companies must meet customers where they are; And those are increasingly social media. As more and more people use a larger number of social media platforms, software for social media management becomes more valuable for their customers.
Reviewing the sales performance of a long -term company reveals insights into its quality. Every company can have success in the short term, but a top class is growing for years. In the past three years, Braze has grown its turnover with an excellent 35.6% compiled annual growth rate. The growth defeats the average software company and shows its offers resonate with customers, a useful starting point for our analysis.
Braze quarterly sales
This quarter, Braze reported a robust turnover growth of 22.5%on an annual basis and the $ 160.4 million in sales at the top of Wall Street estimates by 3%. Business management is currently leading to a turnover increase of 17% on an annual basis next quarter.
Looking forward further, analysts on the sales side expect sales to grow by 15.9% in the coming 12 months, a delay versus in the last three years. Nevertheless, this projection is admirable and implies that the market is in success for its products and services.
Software eats the world and there is virtually no industry about it that is untouched. This encourages the increasing demand for tools that help software developers to do their work, whether it is to follow critical cloud infrastructure, integrating audio and video functionality or ensuring smooth content streaming. Click here to access a free report about our 3 favorite shares to play this generation of megatrend.
Billings is a non-Gaap-Metric who is often called ‘cash income’, because it shows how much money the company has collected in a certain period of customers. This differs from income, which must be recognized in documents over the length of a contract.
Braze’s Billings collapsed at $ 176.8 million in the fourth quarter and in the last four quarters the growth was impressive because it was on average 24% on an annual basis. These achievements were in accordance with its total revenue growth, which points to a robust question from the customer. The high level of cash collected from customers also improves liquidity and provides a solid foundation for future investments and growth.
Braze Billings
One of the best parts about the software-as-a-service business model (and a reason why they act at multiples with high appreciation) is that customers usually spend more on the products and services of a company over time.
Braze’s net income retention rate, an important achievement -that measures how many money of existing customers from a year ago today were 114% in Q4. This means that Braze would have grown his income by 13.7%, even if it has not won new customers in the last 12 months.
Braze net income retention rate
Despite the fact that the past year falls, Braze still has a good net retention rate, which shows that customers are satisfied with the software and get more value out of time, which is always great to see.
We were impressed by the strong growth of Braze in customers this quarter, so that it could beat the turnover, profit per share and adapted business income of analysts. We were also happy that the EPS guidance of full-year Wall Street was the estimates of Wall Street at the top. On the other hand, invoicing was short. Yet this quarter had some important positives. Immediately after reporting, the share proceeded 13.7% to $ 41.70.
Braze had an encouraging quarter, but one win results does not necessarily make the share a purchase. Let’s see if this is a good investment. We think that the last quarter is only one part of the puzzle for business quality in the longer term. Quality, in combination with appreciation, can help determine whether the stock is a purchase. We deal with that in our usable full research report that you can read here, it is free.
Sign Up For Daily Newsletter
Be keep up! Get the latest breaking news delivered straight to your inbox.
By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
