NYSE$QTWO
Q2 Holdings Inc · Q1 2020 earnings
Q1 2020 earnings · · Investor relations
Briefing
Q2 Holdings' first quarter performance was solid amidst COVID-19 impacts.
Q2 Holdings reported a 30% year-over-year increase in revenue, reaching $92.4 million for the first quarter. The company signed new Tier 1 digital banking and lending deals and onboarded approximately 800,000 users. However, the company anticipates a slowdown in new business bookings and potential project delays due to the COVID-19 pandemic.
- Revenue for the first quarter was $92.4 million, a 30% increase year-over-year.
- GAAP gross margin was 42.5%, down from 47.8% in the prior-year quarter.
- The company signed two new Tier 1 digital banking deals and two new Tier 1 digital lending deals.
- Approximately 15.4 million registered users were on the Q2 platform at the end of the quarter, representing an 18% year-over-year growth.
Headline financials
Revenue & EPS history
Q2 · Revenue · Quarterly
$92.4M
Forward guidance
Q2 Holdings provided guidance for the second quarter of 2020 and revised guidance for the full year 2020, anticipating the impacts of the COVID-19 pandemic on its operations and financial results.
Tailwinds
- Total Non-GAAP revenue of $94.0 million to $96.0 million for Q2 2020, representing year-over-year growth of 21 percent to 24 percent.
- Adjusted EBITDA of $3.0 million to $4.0 million for Q2 2020.
- Total Non-GAAP revenue of $393.0 million to $400.0 million for full year 2020, representing year-over-year growth of 24 percent to 26 percent.
- Adjusted EBITDA of $16.0 million to $19.0 million for full year 2020.
- Company took proactive measures to limit travel and marketing related spend in March as we began to experience the impacts of COVID-19
Headwinds
- Anticipate a slowdown in new business bookings.
- Decisions to delay implementations in the coming months.
- Being cautious as a result of the uncertainties and risks posed by COVID-19.
- Revising full-year guidance to reflect current outlook on new customer bookings.
- Potential for project delays on new implementations in the coming months.
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 2020
+3.7%
Avg return
Earnings day
+2.8%
Avg return
5 days after
+2.2%
Avg return
30 days after
65%
31 / 48 earnings
Positive
+18.5%
Q3 2024
Best reaction
-8.2%
Q3 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +2.8% | -0.3% | -9.9% | |
| Q4 2025 | -7.4% | -7.1% | -14.7% | |
| Q3 2025 | +15.3% | +20.1% | +20.3% | |
| Q1 2025 | +13.1% | +15.5% | +13.6% | |
| Q4 2024 | +0.9% | +1.8% | -17.6% | |
| Q3 2024 | +18.5% | +18.4% | +28.6% | |
| Q2 2024 | +5.5% | -1.9% | +11.7% | |
| Q1 2024 | +15.9% | +19.7% | +18.3% | |
| Q4 2023 | +9.1% | +10.6% | +21.9% | |
| Q3 2023 | +9.9% | +11.9% | +24.9% | |
| Q2 2023 | -6.2% | -4.5% | -1.7% | |
| Q1 2023 | +12.1% | +9.6% | +24.9% | |
| Q4 2022 | -2.3% | -5.6% | -31.6% | |
| Q3 2022 | -8.2% | +7.7% | -4.2% | |
| Q2 2022 | +0.1% | -2.3% | -15.8% | |
| Q1 2022 | -4.7% | -12.3% | -0.3% | |
| Q4 2021 | +4.6% | -1.3% | -3.8% | |
| Q3 2021 | +14.3% | +13.2% | -5.6% | |
| Q2 2021 | -6.1% | -11.2% | -7.9% | |
| Q1 2021 | -3.5% | -6.2% | -3.2% | |
| Q4 2020 | -6.5% | -7.7% | -27.1% | |
| Q3 2020 | +7.6% | +10.8% | +24.5% | |
| Q2 2020 | +5.3% | -4.5% | -4.8% | |
| Q1 2020 | +5.9% | +2.1% | +5.5% | |
| Q4 2019 | +2.1% | -4.6% | -36.6% | |
| Q3 2019 | -0.8% | +7.1% | +17.6% | |
| Q2 2019 | +15.2% | +15.5% | +17.2% | |
| Q1 2019 | -6.3% | -2.0% | -4.9% | |
| Q4 2018 | +4.0% | +3.9% | +6.2% | |
| Q3 2018 | +3.7% | +1.6% | -1.0% | |
| Q2 2018 | -3.2% | -1.9% | +2.8% | |
| Q1 2018 | +10.2% | +9.2% | +14.1% | |
| Q4 2017 | +3.8% | +5.8% | +8.8% | |
| Q3 2017 | -3.8% | -1.3% | -2.7% | |
| Q2 2017 | -2.5% | -2.7% | +4.7% | |
| Q1 2017 | -1.0% | -1.3% | +3.5% | |
| Q4 2016 | +12.1% | +13.2% | +13.2% | |
| Q3 2016 | -3.7% | +5.5% | +2.0% | |
| Q2 2016 | -5.1% | -14.2% | -5.5% | |
| Q1 2016 | +6.7% | — | — | |
| Q4 2015 | +13.3% | — | — | |
| Q3 2015 | +10.6% | — | — | |
| Q2 2015 | +1.7% | — | — | |
| Q1 2015 | +13.8% | — | — | |
| Q4 2014 | +7.4% | — | — | |
| Q3 2014 | -7.1% | — | — | |
| Q2 2014 | +9.1% | — | — | |
| Q1 2014 | +2.4% | — | — | |
| Q4 2013 | — | — | — | |
| Q3 2013 | — | — | — | |
| Q2 2013 | — | — | — | |
| Q1 2013 | — | — | — | |
| Q4 2012 | — | — | — | |
| Q3 2012 | — | — | — |
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