NYSE$TYL

Tyler Technologies Inc. · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Reported a decrease in revenue but an increase in operating income and net income for Q2 2020.

Tyler Technologies reported a slight decrease in total revenues, but experienced significant growth in operating income, net income, and cash flows from operations. The company's recurring revenues remained strong, and despite challenges related to the COVID-19 pandemic, Tyler ended the quarter with a record backlog.

  • Total revenues decreased by 1.5% year-over-year to $271.1 million.
  • Operating income increased by 12.8% year-over-year to $41.3 million.
  • Net income increased by 68.4% year-over-year to $53.9 million, or $1.30 per diluted share.
  • Cash flows from operations increased by 62.5% year-over-year to $39.8 million.

Headline financials

Total Revenue

$271M

Previous: $275M-1.5%
EPS (adj)

$1.38

Previous: $1.30+6.2%
Capital Expenditures

-$16.3M

Previous: -$24.1M+32.4%
Free Cash Flow

$37.6M

Previous: $7.95M+373.4%
Net Income

$53.9M

Previous: $32M+68.4%
Operating Income

$41.3M

Previous: $36.7M+12.8%
Gross Profit

$131M

Previous: $128M+2.6%
Cash & Equivalents

$351M

Previous: $11.2M+3040.6%
Total Assets

$2.38B

Previous: $1.95B+22.2%
Stock-Based Comp

$18.4M

Previous: $15.1M+22.0%

Revenue & EPS history

Tyler · Revenue · Quarterly

$271M

Q2 2020-1.5%vs Q2 2019
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Tyler · $266M total across 5 segments · Q2 2020

  • Maintenance
    $117M
  • Subscriptions
    $85.6M
  • Professional services
    $43.7M
  • Software licenses and royalties
    $17M
  • Hardware and other
    $3.32M

Forward guidance

Tyler Technologies provided guidance for the full year 2020, including GAAP and non-GAAP total revenues, diluted earnings per share, pre-tax non-cash share-based compensation expense, research and development expense, fully diluted shares, effective tax rates, and capital expenditures.

Tailwinds

  • GAAP total revenues are expected to be in the range of $1.124 billion to $1.144 billion.
  • Non-GAAP total revenues are expected to be in the range of $1.125 billion and $1.145 billion.
  • GAAP diluted earnings per share are expected to be in the range of $4.71 to $4.91.
  • Non-GAAP diluted earnings per share are expected to be in the range of $5.30 to $5.50.
  • Research and development expense is expected to be in the range of $90 million to $92 million.

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 Q2 2020

Historical avgQ2 2020

+1.4%

Avg return

Earnings day

+0.6%

Avg return

5 days after

-0.1%

Avg return

30 days after

63%

41 / 65 earnings

Positive

+13.1%

Q3 2010

Best reaction

-15.4%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.5%-7.9%-12.3%
Q4 2025-15.4%-7.9%+3.1%
Q3 2025+0.0%-1.7%-1.8%
Q1 2025-6.8%-6.2%-0.6%
Q4 2024+6.0%+4.9%-7.7%
Q3 2024+4.4%+3.3%+4.0%
Q2 2024+7.2%+9.6%+8.6%
Q1 2024+9.5%+11.2%+17.6%
Q4 2023+2.2%+2.1%-3.6%
Q3 2023+8.8%+10.7%+10.9%
Q2 2023-6.1%-2.8%-7.2%
Q1 2023+6.1%+4.9%+8.1%
Q4 2022+4.0%+5.3%+0.1%
Q3 2022-3.6%-6.6%-4.4%
Q2 2022+11.0%+11.8%+5.4%
Q1 2022+7.6%+5.2%-3.3%
Q4 2021-10.2%-13.8%-8.6%
Q3 2021+1.3%+2.1%-5.4%
Q2 2021-0.3%-0.2%-3.4%
Q1 2021-4.6%-4.1%-9.8%
Q4 2020+10.1%+12.2%-2.7%
Q3 2020+3.7%+6.4%+6.4%
Q2 2020+0.8%+4.8%-2.8%
Q1 2020+2.8%+0.9%+20.3%
Q4 2019-0.3%+0.9%-14.4%
Q3 2019+1.6%+2.1%+9.8%
Q2 2019+5.8%+3.4%+10.0%
Q1 2019-6.8%-4.2%-8.0%
Q4 2018-3.3%-4.8%-7.8%
Q3 2018-6.3%-9.7%-7.4%
Q2 2018-2.9%-5.6%+1.6%
Q1 2018-0.2%+1.0%+5.3%
Q4 2017-2.8%-0.9%-0.1%
Q3 2017+2.6%-0.4%-0.2%
Q2 2017-6.1%-5.1%-5.9%
Q1 2017+3.1%+1.2%+5.4%
Q4 2016+9.2%+5.9%+5.7%
Q3 2016-2.7%-3.1%-7.2%
Q2 2016-0.5%-1.8%-0.6%
Q1 2016+1.7%
Q4 2015-12.4%
Q3 2015+2.7%
Q2 2015-2.8%
Q1 2015+2.4%
Q4 2014+3.7%
Q3 2014+11.2%
Q2 2014+11.8%
Q1 2014-3.6%
Q4 2013-8.6%
Q3 2013+8.7%
Q2 2013+2.5%
Q1 2013+6.0%
Q4 2012+2.1%
Q3 2012+11.4%
Q2 2012-3.6%
Q1 2011+0.6%
Q1 2012+1.9%
Q4 2009+5.8%
Q4 2011+5.8%
Q3 2011+13.1%
Q3 2010+13.1%
Q2 2011+0.4%
Q2 2010+0.4%
Q4 2010+0.4%
Q1 2010-10.3%

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