NYSE$NABL

N-able Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

N-able's Q1 2024 performance was strong, with revenue exceeding guidance and adjusted EBITDA margin outlook raised.

N-able reported a strong start to 2024, exceeding guidance on both revenue and adjusted EBITDA. Total revenue reached $113.7 million, a 14% year-over-year increase. The company raised its full-year constant currency revenue and adjusted EBITDA margin outlooks.

  • Total revenue increased by 14% year-over-year to $113.7 million.
  • Subscription revenue grew by 14.4% year-over-year to $111.5 million.
  • GAAP net income was $7.5 million, or $0.04 per diluted share; non-GAAP net income was $19.8 million, or $0.11 per diluted share.
  • Adjusted EBITDA increased by 21% year-over-year to $39.6 million, representing a 34.8% adjusted EBITDA margin.

Headline financials

Total Revenue

$114M

Previous: $99.8M+14.0%
EPS

$0.04

Previous: $0.08-50.0%
Adjusted EBITDA

$39.6M

Previous: $32.7M+21.0%
Adjusted EBITDA Margin

34.8%

Previous: 32.8%+6.1%
Capital Expenditures

-$3.44M

Previous: -$3.4M-1.0%
Free Cash Flow

$4.02M

Previous: $135K+2876.3%
Net Income

$7.46M

Previous: $3.54M+110.7%
Operating Income

$20.5M

Previous: $14.3M+43.1%
Gross Profit

$95.5M

Previous: $83.6M+14.2%
Cash & Equivalents

$139M

Previous: $98.1M+42.0%
Total Assets

$1.15B

Previous: $1.09B+5.2%
R&D Expense

$22.1M

No prior period
Stock-Based Comp

$11.5M

Previous: $9.85M+17.2%

Revenue & EPS history

N-able · Revenue · Quarterly

$114M

Q1 2024+14%vs Q1 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

N-able · $108M total across 2 segments · Q3 2023

  • Subscription Revenue
    $105M+15.4%
  • Other Revenue
    $2.36M+1.9%

Forward guidance

N-able provided financial outlook for the second quarter and full year 2024. For Q2 2024, they expect total revenue between $116.5 to $117.0 million and adjusted EBITDA between $41.0 to $41.5 million. For full year 2024, they expect total revenue between $462.0 to $465.0 million and adjusted EBITDA between $162.0 to $165.0 million.

Tailwinds

  • Total revenue in the range of $116.5 to $117.0 million for Q2 2024, representing approximately 10% year-over-year growth, or 10% to 11% growth on a constant currency basis.
  • Adjusted EBITDA in the range of $41.0 to $41.5 million for Q2 2024, representing approximately 35% of total revenue.
  • Total revenue in the range of $462.0 to $465.0 million for full year 2024, representing approximately 10% year-over-year growth, or 10% to 11% growth on a constant currency basis.
  • Adjusted EBITDA in the range of $162.0 to $165.0 million for full year 2024, representing approximately 35% of total revenue.
  • Expectations reflect the impact on its business of changing foreign exchange rates and current macroeconomic dynamics.

Headwinds

  • Forward-looking non-GAAP financial information excludes items such as amortization of acquired intangible assets and developed technology.
  • Depreciation expense is excluded from forward-looking non-GAAP financial information.
  • Income tax expense is excluded from forward-looking non-GAAP financial information.
  • Interest expense, net, is excluded from forward-looking non-GAAP financial information.
  • Unrealized foreign currency (gains) losses are excluded from forward-looking non-GAAP financial information.

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 Q1 2024

Historical avgQ1 2024

+0.4%

Avg return

Earnings day

-1.0%

Avg return

5 days after

-0.4%

Avg return

30 days after

48%

11 / 23 earnings

Positive

+20.1%

Q3 2022

Best reaction

-28.2%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.2%-26.6%-28.4%
Q4 2025-10.8%-15.4%-5.6%
Q3 2025+9.1%+2.2%-3.6%
Q1 2025+5.2%+14.7%+14.0%
Q4 2024-28.2%-26.7%-25.7%
Q3 2024-11.7%-13.4%-18.9%
Q2 2024-1.4%-2.9%-5.4%
Q1 2024-0.2%+0.0%+11.8%
Q4 2023+5.9%+3.0%+2.1%
Q3 2023-11.6%-13.8%-8.0%
Q2 2023+1.3%+0.1%+0.4%
Q1 2023+8.0%+10.4%+14.2%
Q4 2022+19.5%+15.4%+16.8%
Q3 2022+20.1%+19.5%+15.2%
Q2 2022-2.1%+0.2%-2.1%
Q1 2022+6.1%+9.2%+20.2%
Q1 2021+6.1%+9.2%+20.2%
Q4 2019+4.6%-3.3%-16.3%
Q4 2021+2.3%+2.4%-13.9%
Q3 2021-3.9%-4.9%-12.3%
Q2 2020-1.6%-1.5%+6.6%
Q2 2021-1.6%-0.4%+4.9%
Q4 2020-1.6%-0.4%+4.9%
Q3 2020
Q1 2020

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