NASDAQ$VERX
Vertex Inc · Q1 2022 earnings
Q1 2022 earnings · · Investor relations
Briefing
Vertex's first quarter performance in 2022 showed revenue acceleration and strategic investments driving growth and market leadership.
Vertex announced strong first quarter results with a 17% increase in total revenues year-over-year, driven by software subscriptions and cloud revenues. The company saw continued growth in ARR and NRR rates, and refinanced its credit facility to increase operational flexibility.
- Total revenues increased by 17.0% year-over-year, reaching $115.0 million.
- Software subscription revenues grew by 16.6% year-over-year, totaling $97.1 million.
- Cloud revenues experienced substantial growth, increasing by 42.1% year-over-year to $38.3 million.
- ARR increased by 18.9% year-over-year, reaching $380.6 million.
Headline financials
Revenue & EPS history
Vertex · Revenue · Quarterly
$115M
Revenue by segment
Vertex · $17.9M total across 1 segment · Q1 2022
- Services$17.9M—100.0%
Forward guidance
For the second quarter of 2022, the Company currently expects revenues of $116.0 million to $117.5 million, representing growth of 11% to 12% from the second quarter of 2021; and Adjusted EBITDA of $16.0 million to $18.0 million, representing a decrease of $1.2 million to $3.2 million from the second quarter of 2021.
Tailwinds
- Revenues of $116.0 million to $117.5 million, representing growth of 11% to 12% from the second quarter of 2021
- Cloud revenue growth of 33% from the full-year 2021
- Revenues of $479 million to $483 million, representing growth of 13% to 14% from the full-year 2021
- Ongoing investment in research and development
- Ongoing investment in selling and marketing expenses to drive growth
Headwinds
- Adjusted EBITDA of $16.0 million to $18.0 million, representing a decrease of $1.2 million to $3.2 million from the second quarter of 2021
- Adjusted EBITDA of $72 million to $75 million, representing a decrease of $3 million to $6 million from the full-year 2021
- The Company is unable to reconcile forward-looking Adjusted EBITDA to net income (loss)
- The Company is currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact net income (loss) for these periods but would not impact Adjusted EBITDA
- Actual results may differ materially
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 Q1 2022
+0.5%
Avg return
Earnings day
+0.3%
Avg return
5 days after
+4.2%
Avg return
30 days after
50%
12 / 24 earnings
Positive
+32.1%
Q4 2023
Best reaction
-20.9%
Q4 2020
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -5.2% | +6.8% | +3.9% | |
| Q4 2025 | -13.8% | -14.3% | -10.6% | |
| Q3 2025 | -8.5% | -14.8% | -13.6% | |
| Q2 2025 | -18.0% | -24.4% | -27.3% | |
| Q1 2025 | -3.1% | -3.3% | +6.1% | |
| Q4 2024 | -19.0% | -24.4% | -16.6% | |
| Q3 2024 | +17.4% | +12.8% | +28.8% | |
| Q2 2024 | -1.4% | -1.5% | -2.5% | |
| Q1 2024 | +1.3% | +5.1% | +13.7% | |
| Q4 2023 | +32.1% | +17.9% | +25.0% | |
| Q3 2023 | +21.3% | +23.7% | +27.6% | |
| Q2 2023 | +8.2% | +9.9% | +23.1% | |
| Q1 2023 | -5.9% | -7.0% | +8.7% | |
| Q4 2022 | +20.2% | +21.2% | +48.4% | |
| Q3 2022 | +11.3% | +3.1% | -7.0% | |
| Q2 2022 | +10.1% | +10.4% | +13.6% | |
| Q1 2022 | -19.7% | -5.5% | -13.2% | |
| Q4 2021 | +1.1% | -5.6% | +16.0% | |
| Q3 2021 | +1.4% | +1.1% | -14.2% | |
| Q2 2021 | -0.2% | +3.0% | +1.7% | |
| Q1 2021 | +13.5% | +20.4% | +16.7% | |
| Q4 2020 | -20.9% | -16.6% | -34.3% | |
| Q3 2020 | -10.2% | -8.8% | -1.2% | |
| Q2 2020 | +0.7% | -2.0% | +8.4% | |
| Q1 2020 | — | — | — | |
| Q4 2019 | — | — | — | |
| Q3 2019 | — | — | — | |
| Q2 2019 | — | — | — | |
| Q1 2019 | — | — | — |
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