NASDAQ$GDYN

Grid Dynamics Holdings Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Announced Q2 2020 financial results, with revenue at the high end of guidance and strong growth in non-retail verticals.

Grid Dynamics reported Q2 2020 revenue of $22.4 million, at the high end of the guidance range. Non-retail industry verticals showed strong growth. The company posted a GAAP net loss of $2.2 million but generated positive adjusted EBITDA of $1.2 million. They anticipate Q2 to be the low point for 2020, with recovery expected from Q3 onwards.

  • Delivered $22.4 million of revenue, at the high-end of the guidance range.
  • Non-retail industry verticals generated strong sequential and year-over-year revenue growth of 12% and 46%, respectively.
  • Technology vertical, at 54% of second quarter revenue, grew 52% on a year-over-year basis.
  • Generated positive adjusted EBITDA of $1.2 million in Q2, reflecting excellent focus and execution of cost savings initiatives.

Headline financials

Total Revenue

$22.4M

Previous: $782K+2758.9%
EPS (adj)

$0.01

Previous: $0.16-93.8%
Capital Expenditures

-$1.11M

Previous: $1.13M-198.5%
Free Cash Flow

-$3.28M

Previous: $774K-523.4%
Net Income

-$2.17M

Previous: $774K-380.0%
Operating Income

-$3.19M

Previous: -$278K-1046.4%
Gross Profit

$8.39M

Previous: $782K+971.8%
Cash & Equivalents

$123M

Previous: $660K+18562.2%
Total Assets

$154M

Previous: $224M-31.4%
Stock-Based Comp

$3.65M

Previous: $238K+1435.3%

Revenue & EPS history

Grid Dynamics · Revenue · Quarterly

$22.4M

Q2 2020+2,758.9%vs Q2 2019
Beat estimate in 8 of 11 quarters(73%)
ActualEstimate

Revenue by segment

Grid Dynamics · $67.8M total across 4 segments · Q3 2023

  • Retail
    $26.5M+5.1%
  • TMT
    $23.7M-9.9%
  • Other
    $10.2M+36.9%
  • Finance
    $7.3M+20.2%

Forward guidance

The company expects revenue in the third quarter 2020 to be in the range of $24.5 million to $26 million.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+3.2%

Avg return

Earnings day

+1.9%

Avg return

5 days after

+4.7%

Avg return

30 days after

69%

20 / 29 earnings

Positive

+28.3%

Q3 2021

Best reaction

-20.6%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.4%+8.7%+28.3%
Q4 2025-7.0%-7.4%-19.3%
Q3 2025+22.9%+18.0%+15.3%
Q1 2025-3.1%-5.3%-11.0%
Q4 2024+4.3%-2.8%-20.6%
Q3 2024-4.3%+0.6%+14.9%
Q2 2024+7.3%+4.7%+7.9%
Q1 2024+1.6%+9.7%-4.1%
Q4 2023+5.0%+2.7%-9.5%
Q3 2023+16.5%+13.6%+23.0%
Q2 2023+16.9%+13.9%+21.8%
Q1 2023-20.6%-25.0%-13.8%
Q4 2022+4.0%-1.9%-9.9%
Q3 2022-9.7%-13.8%-4.7%
Q2 2022+2.7%+0.6%+2.8%
Q1 2022+14.6%+5.1%+22.7%
Q4 2021-15.5%+7.0%+23.6%
Q3 2021+28.3%+28.1%+30.5%
Q2 2021+18.5%+15.1%+44.0%
Q1 2021+7.2%+7.2%+8.8%
Q4 2020-7.7%-4.4%+2.3%
Q3 2020+10.9%+12.5%+37.3%
Q2 2020+4.2%+8.4%+8.4%
Q1 2020-15.2%-12.1%-6.5%
Q2 2019+1.8%-15.6%-32.1%
Q4 2019+1.8%-15.6%-32.1%
Q3 2019+4.5%+4.1%+6.7%
Q1 2019+0.3%+0.3%+0.7%
Q4 2018-0.2%-0.2%+0.1%

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