Veritone Inc · Q2 2023 earnings

Briefing

Reported a decrease in GAAP and Pro forma revenues, driven by decline in one-time nonrecurring Software Products & Services revenue. The acquisition of Broadbean was completed, and cost reduction initiatives were executed.

Veritone's Q2 2023 results showed a decrease in GAAP and Pro forma revenues compared to Q2 2022, primarily due to a decline in one-time nonrecurring Software Products & Services revenue. However, the company completed the acquisition of Broadbean and executed cost reduction initiatives, achieving significant annualized savings.

• Total revenue and software revenue were $28.0 million and $14.1 million, respectively.
• ARR of $108 million from 3,705 total software Products & Services customers, including $47 million from subscription-based customers.
• Cost reduction initiatives achieved to date resulted in over $17 million of annualized savings, including successful divestiture of Energy Group in Q2 2023.
• Successfully completed acquisition of Broadbean in June 2023, accelerating revenue growth and market share opportunities across +3,000 HR Solutions customers.

Headline financials

Revenue & EPS history

Veritone expects revenue to be in the range of $35.5 million to $37.5 million for Q3 2023, compared to $37.2 million in Q3 2022. Non-GAAP net loss is expected to be in the range of $6.5 million to $8.5 million, compared to a non-GAAP net loss of $5.7 million in Q3 2022. For the full year 2023, revenue is expected to be in the range of $128.0 million to $135.0 million, compared to $149.7 million for fiscal 2022. Non-GAAP net loss is expected to be in the range of $28.0 million to $33.0 million, compared to a non-GAAP net loss of $15.9 million for fiscal 2022.