CS Disco Inc · Q3 2021 earnings

Briefing

CS Disco's revenue increased by 67% year-over-year, driven by a strategic focus on client needs for productivity and efficiency.

CS Disco reported a strong third quarter with revenue reaching $29.9 million, a 67% increase compared to the same period last year. However, the company experienced a GAAP net loss of $9.2 million, which is higher than the $3.2 million loss in the third quarter of 2020. The adjusted EBITDA was ($7.6) million, compared to ($3.2) million in the third quarter of 2020.

• Total revenue reached $29.9 million, marking a 67% increase compared to Q3 2020.
• GAAP net loss amounted to $9.2 million, compared to $3.2 million in the third quarter of 2020.
• Adjusted EBITDA was ($7.6) million, compared to ($3.2) million in the third quarter of 2020.
• Completed a secondary public offering on September 17, 2021, resulting in net proceeds of approximately $310.2 million to the selling stockholders.

Headline financials

Revenue & EPS history

For the fourth quarter of 2021, DISCO anticipates revenue in the range of $28.2 - $28.8 million, representing year-over-year growth between 47% and 50%, and adjusted EBITDA in the range of ($10.0) - ($9.0) million. For the full fiscal year 2021, DISCO projects revenue in the range of $108.7 - $109.3 million, indicating year-over-year growth between 59% and 60%, with adjusted EBITDA in the range of ($21.1) - ($20.1) million.