NASDAQ$VRNT

Verint Systems Inc. · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Verint's Q2 2024 earnings were announced, featuring a 17% year-over-year increase in SaaS ARR and the maintenance of diluted EPS outlook, while adjusting revenue outlook to the macroeconomic environment.

Verint reported Q2 FYE 2024 revenue of $210 million, a (6)% year-over-year change. Net loss per share was $(0.17) on a GAAP basis, and diluted EPS was $0.48 on a non-GAAP basis. The company is adjusting its annual revenue outlook due to the macroeconomic environment but maintaining its annual outlook for mid-single digit diluted EPS growth.

  • SaaS ARR increased 17% year-over-year.
  • SaaS Revenue increased approximately 10% year-over-year.
  • Recurring revenue accounted for 86% of software revenue, up approximately 200 bps year-over-year.
  • Gross Margin increased more than 70 bps year-over-year.

Headline financials

Total Revenue

$210M

Previous: $224M-5.9%
EPS (adj)

$0.48

Previous: $0.56-14.3%
Capital Expenditures

$3.63M

Previous: $4.94M-26.6%
Free Cash Flow

-$300K

Previous: -$12.2M+97.5%
Net Income

-$5.79M

Previous: -$2.24M-158.9%
Operating Income

-$7.51M

Previous: $1.51M-597.5%
Gross Profit

$141M

Previous: $148M-4.4%
Cash & Equivalents

$231M

Previous: $257M-9.8%
Total Assets

$2.18B

Previous: $2.17B+0.6%
Stock-Based Comp

$19.3M

Previous: $25.7M-24.7%

Revenue & EPS history

Verint · Revenue · Quarterly

$210M

Q2 2024-5.9%vs Q2 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Verint · $161M total across 1 segment · Q2 2024

  • Recurring Revenue
    $161M-3.3%

Forward guidance

Verint provided its non-GAAP annual outlook for the year ending January 31, 2024.

Tailwinds

  • Revenue: $910 million +/- 2%
  • SaaS Revenue: 18% - 20% year-over-year growth
  • Adjusted EBITDA: $250 million, at the midpoint of revenue guidance, reflecting 5% year-over-year growth
  • Diluted EPS: $2.65 at the midpoint of revenue guidance, reflecting 5% year-over-year growth
  • Expect elongated sales cycles to persist for the remainder of the year due to the macroeconomic environment

Headwinds

  • Amortization of intangible assets of approximately $8 million for the three months ending October 31, 2023
  • Amortization of intangible assets of approximately $33 million for the year ending January 31, 2024
  • Revenue adjustments are expected to be between approximately $0 million and $1 million for the three months ending October 31, 2023
  • Revenue adjustments are expected to be between approximately $1 million and $2 million for the year ending January 31, 2024
  • Stock-based compensation expenses are expected to be between approximately $17 million and $21 million for the three months ending October 31, 2023

Historical earnings impact

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

Avg. return before/after earnings

Based on 3 quarterly earnings reports

Historical avg

+1.2%

Avg return

Earnings day

-4.3%

Avg return

5 days after

+0.4%

Avg return

30 days after

59%

37 / 63 earnings

Positive

+31.6%

Q3 2025

Best reaction

-20.0%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026
Q2 2026+0.3%-0.1%-0.4%
Q1 2026+2.5%+4.8%+17.1%
Q4 2025-13.4%-17.5%-15.6%
Q3 2025+31.6%
Q2 2025-12.1%
Q1 2025+21.8%
Q4 2024+7.1%
Q3 2024+17.9%
Q2 2024-20.0%
Q1 2024+0.3%
Q4 2023-3.0%
Q3 2023+0.6%
Q2 2023-7.5%
Q1 2023-4.5%
Q4 2022+1.3%
Q3 2022+2.5%
Q2 2022-2.9%
Q1 2022-2.2%
Q4 2021+1.4%
Q3 2021+5.2%
Q2 2021+7.6%
Q1 2021-11.8%
Q4 2020-14.6%
Q3 2020+7.4%
Q2 2020-12.3%
Q1 2020-1.1%
Q4 2019+13.9%
Q3 2019+3.9%
Q2 2019+7.4%
Q1 2019+0.2%
Q4 2018+13.1%
Q3 2018-6.6%
Q2 2018+2.4%
Q1 2018+1.9%
Q4 2017+8.8%
Q3 2017-9.8%
Q2 2017+8.4%
Q1 2017+7.4%
Q4 2016-3.9%
Q3 2016-14.7%
Q2 2016-6.3%
Q1 2016-2.1%
Q4 2015+5.0%
Q3 2015-1.7%
Q2 2015+7.5%
Q1 2015+10.4%
Q4 2014+8.1%
Q3 2014+0.6%
Q2 2014+8.9%
Q1 2014+2.1%
Q4 2013+4.3%
Q3 2013-1.0%
Q2 2013+2.7%
Q1 2012+1.7%
Q1 2013+1.7%
Q4 2010-3.3%
Q1 2011-3.3%
Q4 2012-3.3%
Q3 2011+3.5%
Q3 2012+3.5%
Q2 2012-0.0%
Q2 2011-0.0%
Q4 2011-0.0%

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