NYSE$SEMR

Semrush Holdings Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Semrush reported a strong Q3, exceeding guidance and raising full-year outlook, driven by revenue growth and ARR increase.

Semrush announced strong Q3 2024 financial results with revenue of $97.4 million, a 24% year-over-year increase, and ARR of $401 million, also up 24% year-over-year. The company raised its full-year 2024 revenue and non-GAAP operating margin guidance.

  • Revenue grew by 24% year-over-year to $97.4 million.
  • ARR increased by 24% year-over-year to $401 million.
  • Non-GAAP operating income was $12.1 million, with a non-GAAP operating margin of 12.4%.
  • Free cash flow for Q3 was $6.2 million, representing a free cash flow margin of 6.3%.

Headline financials

Total Revenue

$97.4M

Previous: $78.7M+23.7%
EPS

$0.01

Previous: $0.03-66.7%
Annual Recurring Revenue

$401M

Previous: $323M+24.2%
Dollar-Based Net Retention

107.0%

Previous: 109.0%-1.8%
Capital Expenditures

-$3.41M

Previous: -$1.07M-220.3%
Free Cash Flow

$31.7M

Previous: -$4.63M+783.3%
Net Income

$1.09M

Previous: $4.22M-74.0%
Operating Income

$1.71M

Previous: $2.75M-38.0%
Gross Profit

$80.3M

Previous: $65.7M+22.3%
R&D Expense

$22.2M

Previous: $14.1M+57.6%

Revenue & EPS history

Semrush · Revenue · Quarterly

$97.4M

Q3 2024+23.7%vs Q3 2023
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Forward guidance

Semrush provided financial guidance for Q4 2024 and raised full-year 2024 outlook.

Tailwinds

  • Expects Q4 revenue in the range of $100.8 to $101.8 million, representing approximately 21% year-over-year growth at the mid-point.
  • Anticipates Q4 non-GAAP operating margin to be approximately 11%.
  • Raises full-year revenue expectation to a range of $375 to $376 million, representing 22% year-over-year growth.
  • Expects full-year non-GAAP operating margin to be approximately 12%.
  • Projects full-year free cash flow margin to be approximately 8%.

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 2024

Historical avgQ3 2024

-3.7%

Avg return

Earnings day

-2.0%

Avg return

5 days after

+2.4%

Avg return

30 days after

20%

5 / 25 earnings

Positive

+16.9%

Q1 2024

Best reaction

-21.3%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+1.0%+1.1%+1.3%
Q3 2025+6.1%+3.8%+67.2%
Q2 2025-20.7%-22.7%-16.6%
Q1 2025-2.2%+6.1%+1.2%
Q4 2024-21.3%-26.8%-36.6%
Q3 2024-3.9%+1.4%+2.4%
Q2 2024-1.3%+2.3%-0.5%
Q1 2024+16.9%+21.8%+24.3%
Q4 2023-13.3%-9.2%+4.9%
Q3 2023-5.3%+2.7%+38.2%
Q2 2023+2.8%-4.0%-9.3%
Q1 2023-14.0%-12.8%-21.7%
Q4 2022+11.2%+9.7%+26.9%
Q3 2022-16.4%-22.7%-28.9%
Q2 2022-3.3%+4.2%-10.4%
Q1 2022-4.4%+3.8%+23.6%
Q4 2019-1.7%-0.9%-3.1%
Q4 2021-4.6%-20.0%-15.4%
Q3 2020-1.5%-5.9%-24.4%
Q3 2021-4.8%+3.8%-21.8%
Q2 2020-2.3%+3.9%+33.3%
Q2 2021-3.3%+7.2%+28.8%
Q1 2021-2.1%+1.2%-1.4%
Q4 2020-2.1%+1.2%-1.4%
Q1 2020-2.1%+1.2%-1.4%

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