Vertex Inc · Q2 2021 earnings

Briefing

Vertex's second quarter performance in 2021 reflected strong demand across all segments and product lines, driven by investments in go-to-market expansion and cloud platform, resulting in a 59.5% year-over-year increase in cloud business revenues.

Vertex announced its Q2 2021 financial results, reporting a total revenue of $104.9 million, up 15.0% year-over-year, and software subscription revenues of $89.6 million, up 15.9% year-over-year. The company's cloud revenues increased by 59.5% year-over-year, and the Net Revenue Retention rate was 106%. Net income stood at $0.8 million, a significant improvement from the previous year's net loss of $(29.1) million.

• Total revenues reached $104.9 million, a 15.0% increase year-over-year.
• Software subscription revenues grew to $89.6 million, up by 15.9% year-over-year.
• Cloud revenues saw a substantial increase of 59.5% year-over-year, reaching $32.1 million.
• Net income improved to $0.8 million, compared to a net loss of $(29.1) million in the same period last year.

Headline financials

Revenue & EPS history

For the third quarter of 2021, Vertex expects revenues to be in the range of $104 million to $106 million, representing growth of 9.9% to 12.1% from the third quarter of 2020, and Adjusted EBITDA to be in the range of $15 million to $17 million, representing a decrease of $(5.5) million to $(7.5) million from the third quarter of 2020.