NASDAQ$BRZE

Braze Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Braze's Q1 2023 revenue increased by 61.9% year-over-year, reaching $77.5 million, and the company achieved a dollar-based net retention rate of 127%.

Braze reported strong first quarter fiscal 2023 results, with revenue growing 61.9% year-over-year to $77.5 million. The company's dollar-based net retention rate was 127% for the trailing 12 months, and it generated $15.7 million in free cash flow.

  • Revenue was $77.5 million, up 61.9% year-over-year.
  • Subscription revenue reached $72.8 million, compared to $44.7 million in the same quarter of the previous year.
  • Dollar-based net retention rate was 127% for the trailing 12 months.
  • Free cash flow was $15.7 million, compared to $(4.6) million in the same quarter of the previous year.

Headline financials

Total Revenue

$77.5M

Previous: $47.9M+61.9%
EPS (adj)

-$0.19

Previous: -$0.65+70.8%
Non-GAAP Gross Margin

67.8%

Previous: 67.4%+0.6%
Capital Expenditures

-$1.96M

Previous: $298K-757.7%
Free Cash Flow

-$41.2M

Previous: -$4.11M-904.4%
Net Income

-$39.3M

Previous: -$12.8M-206.0%
Operating Income

-$39.6M

Previous: -$13M-204.4%
Gross Profit

$51.6M

Previous: $32.1M+60.9%
Cash & Equivalents

$90.6M

Previous: $48.2M+88.0%
Total Assets

$716M

No prior period
Stock-Based Comp

$17M

Previous: $6.96M+144.0%

Revenue & EPS history

Braze · Revenue · Quarterly

$77.5M

Q1 2023+61.9%vs Q1 2022
Beat estimate in 6 of 9 quarters(67%)
ActualEstimate

Revenue by segment

Braze · $77.5M total across 2 segments · Q1 2023

  • Subscription
    $72.8M+62.9%
  • Professional Services
    $4.7M+46.9%

Forward guidance

Braze is initiating guidance for the fiscal second quarter ending July 31, 2022 and updating guidance for the fiscal year ending January 31, 2023.

Tailwinds

  • Revenue for Q2 2023 is expected to be between $80.5 million and $81.5 million.
  • Revenue for the full year 2023 is projected to be between $345.0 million and $349.0 million.
  • Non-GAAP operating loss for Q2 2023 is anticipated to be between $(19.5) million and $(20.5) million.
  • Non-GAAP operating loss for the full year 2023 is expected to be between $(77.0) million and $(81.0) million.
  • Non-GAAP net loss per share for the full year 2023 is projected to be between $(0.78) and $(0.82).

Headwinds

  • Non-GAAP operating loss for Q2 2023 is expected to be between $(19.5) million and $(20.5) million.
  • Non-GAAP net loss for Q2 2023 is anticipated to be between $(18.5) million and $(19.5) million.
  • Non-GAAP net loss per share for Q2 2023 is projected to be between $(0.19) and $(0.20).
  • Non-GAAP operating loss for the full year 2023 is expected to be between $(77.0) million and $(81.0) million.
  • Non-GAAP net loss for the full year 2023 is anticipated to be between $(74.5) million and $(78.5) million.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

+1.3%

Avg return

Earnings day

+0.3%

Avg return

5 days after

-4.5%

Avg return

30 days after

52%

12 / 23 earnings

Positive

+22.1%

Q3 2022

Best reaction

-18.8%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027
Q4 2026-1.3%+1.2%-0.2%
Q3 2026+17.7%+8.1%-1.9%
Q2 2026+13.5%+8.7%+2.7%
Q1 2026-17.7%-21.2%-20.3%
Q4 2025+2.2%-1.1%-14.9%
Q3 2025-1.2%+0.4%+6.5%
Q2 2025-17.6%-20.6%-28.0%
Q1 2025+1.7%+0.5%+8.3%
Q4 2024-10.4%-13.3%-15.6%
Q3 2024-4.6%-5.5%-16.4%
Q2 2024+3.0%-0.9%-0.5%
Q1 2024+16.0%+22.2%+22.7%
Q4 2023+9.6%+12.7%-6.8%
Q3 2023+0.2%-2.7%+2.3%
Q2 2022-16.7%-19.3%-32.3%
Q2 2023-18.8%-18.8%-28.6%
Q1 2022+14.5%+12.9%+43.5%
Q1 2023-2.1%+1.4%+29.8%
Q4 2020-7.1%-13.0%-7.8%
Q4 2022-11.8%-13.9%-14.5%
Q4 2021+16.9%+19.9%-14.2%
Q3 2021+22.1%+24.1%-8.4%
Q3 2022+22.1%+24.1%-8.4%
Q2 2021
Q1 2021

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