NYSE$LAW

CS Disco Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

CS Disco's financial performance saw revenue increase and customer count grow, but net loss also increased, and adjusted EBITDA decreased.

CS Disco reported a 15% year-over-year increase in total revenue, reaching $34.5 million. The customer base grew by 26% to 1,318 customers. However, the GAAP net loss increased to $20.1 million, and the adjusted EBITDA was ($13.1) million.

  • Total revenue increased by 15% year-over-year to $34.5 million.
  • Customer count grew to 1,318, a 26% increase year-over-year.
  • GAAP net loss was $20.1 million, compared to $9.2 million in the same quarter last year.
  • Adjusted EBITDA was ($13.1) million, compared to ($7.5) million in the third quarter of 2021.

Headline financials

Total Revenue

$34.5M

Previous: $29.8M+15.9%
EPS (adj)

-$0.24

Previous: -$0.17-41.2%
Capital Expenditures

-$3.73M

Previous: -$2.34M-59.6%
Free Cash Flow

-$23.8M

Previous: -$11.6M-105.8%
Net Income

-$20.1M

Previous: -$9.23M-117.4%
Operating Income

-$20.1M

Previous: -$9.07M-121.4%
Gross Profit

$25.8M

Previous: $22M+17.3%
Cash & Equivalents

$213M

Previous: $258M-17.5%
Total Assets

$267M

Previous: $295M-9.4%
Stock-Based Comp

$5.67M

Previous: $1.05M+437.5%

Revenue & EPS history

CS Disco · Revenue · Quarterly

$34.5M

Q3 2022+15.9%vs Q3 2021
Beat estimate in 10 of 13 quarters(77%)
ActualEstimate

Forward guidance

DISCO projects revenue in the range of $132.0 - $136.0 million, representing year-over-year growth between 15% and 19%. Adjusted EBITDA is expected to be in the range of ($54.0) - ($50.0) million.

Tailwinds

  • Revenue growth between 15% and 19% is expected.
  • Focus on operational efficiency.
  • Strong customer growth.
  • Leader in the IDC MarketScape.
  • CFO won the Austin Business Journal Best CFO Awards.

Headwinds

  • Outlook is based on assumptions that are subject to change.
  • Actual results may vary from expectations.
  • High variability and complexity in forecasting.
  • Unpredictable fluctuations in DISCO’s stock price.
  • Potential impact of global events on business.

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 Q3 2022

Historical avgQ3 2022

+0.3%

Avg return

Earnings day

+1.8%

Avg return

5 days after

-6.5%

Avg return

30 days after

48%

11 / 23 earnings

Positive

+29.5%

Q3 2022

Best reaction

-53.1%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-19.7%-20.3%-18.6%
Q4 2025-15.4%+8.0%+12.9%
Q3 2025+9.6%+14.0%+19.9%
Q1 2025+9.9%+11.6%+22.6%
Q4 2024+5.0%+0.4%-10.6%
Q3 2024-0.5%-1.5%-0.8%
Q2 2024-2.2%+0.4%-3.2%
Q1 2024-14.8%-14.0%-26.2%
Q4 2023-4.5%-6.7%+7.4%
Q3 2023-2.9%-7.4%+13.3%
Q2 2023+21.7%+12.5%+8.5%
Q1 2023-2.2%+2.0%+36.1%
Q4 2022-27.6%-23.1%-32.1%
Q3 2022+29.5%+26.4%-13.8%
Q2 2022-53.1%-49.5%-50.8%
Q1 2022+27.3%+21.2%-7.0%
Q4 2021+16.3%+22.3%+10.6%
Q3 2020-11.1%-5.4%-29.5%
Q3 2021-6.4%-9.8%-28.2%
Q2 2020+12.6%+12.8%-16.3%
Q1 2021+12.6%+12.8%-16.3%
Q4 2020+12.6%+12.8%-16.3%
Q2 2021+9.5%+21.0%-10.1%
Q1 2020

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro