NYSE$MLNK

MeridianLink Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

MeridianLink's Q3 2022 performance was marked by revenue growth and progress in cloud migration.

MeridianLink reported a 7% year-over-year increase in revenue to $71.8 million for Q3 2022, driven by strength in digital lending. The company completed its cloud migration ahead of schedule and announced the acquisition of OpenClose.

  • Revenue increased by 7% year-over-year to $71.8 million.
  • Lending software solutions revenue grew 17% year-over-year to $52.4 million.
  • The company achieved 36% adjusted EBITDA margins.
  • MeridianLink completed the migration of MeridianLink One functionality to the public cloud ahead of schedule.

Headline financials

Total Revenue

$71.8M

Previous: $67.4M+6.5%
EPS (adj)

$0.06

Previous: $0.06+0.0%
Adjusted EBITDA Margin

36.0%

Previous: 46.0%-21.7%
Non-GAAP Operating Margin

17.0%

Previous: 25.0%-32.0%
Capital Expenditures

$409K

Previous: $139K+194.2%
Free Cash Flow

$16.9M

Previous: $17.6M-3.9%
Net Income

-$2.9M

Previous: -$21.4M+86.5%
Operating Income

$4.5M

Previous: -$8.76M+151.4%
Gross Profit

$43.9M

Previous: $40.7M+8.0%
Cash & Equivalents

$116M

Previous: $93M+24.4%
Total Assets

$1.06B

Previous: $1.02B+4.3%
Stock-Based Comp

$7.25M

Previous: $25.5M-71.6%

Revenue & EPS history

MeridianLink · Revenue · Quarterly

$71.8M

Q3 2022+6.5%vs Q3 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

MeridianLink · $76.5M total across 2 segments · Q3 2023

  • Lending Software Solutions
    $58.9M
  • Data Verification Software Solutions
    $17.5M

Forward guidance

The company issued fourth quarter financial guidance and updated full year 2022 financial guidance.

Tailwinds

  • Revenue is expected to be in the range of $65.0 million to $67.0 million for Q4 2022.
  • Adjusted EBITDA is expected to be in the range of $19.0 million to $21.0 million for Q4 2022.
  • Revenue is expected to be in the range of $282.5 million to $284.5 million for the full year 2022.
  • Adjusted EBITDA is expected to be in the range of $107.0 million to $109.0 million for the full year 2022.

Historical earnings impact

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

Avg. return before/after earnings

Based on 6 quarterly earnings reports

Historical avg

+1.0%

Avg return

Earnings day

+2.6%

Avg return

5 days after

+2.6%

Avg return

30 days after

57%

12 / 21 earnings

Positive

+24.6%

Q2 2025

Best reaction

-23.9%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2025
Q2 2025+24.6%+24.7%+25.3%
Q1 2025-2.0%-4.3%-5.3%
Q4 2025+16.6%+6.3%-9.7%
Q3 2024+0.2%+1.5%-4.1%
Q2 2024-4.2%-3.3%+2.0%
Q1 2024+1.4%-3.3%+13.4%
Q4 2023-4.4%-3.3%-3.4%
Q3 2023+2.1%
Q2 2023-23.9%
Q1 2023+1.3%
Q4 2022-0.2%
Q3 2022-14.8%
Q2 2022+4.0%
Q1 2022+16.9%
Q4 2021-2.4%
Q4 2019-2.4%
Q3 2020+3.3%
Q3 2021+3.3%
Q1 2021+2.1%
Q4 2020+2.1%
Q2 2021-2.2%
Q2 2020
Q1 2020

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