NYSE$WEAV

Weave Communications Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Improved business efficiency and go-to-market execution, resulting in favorable revenue and operating margins.

Weave Communications announced its Q3 2022 financial results, reporting a total revenue of $36.2 million, up 20% year-over-year. The company showed improvement in gross and operating margins year-over-year, driven by strategic and operational actions.

  • Total revenue reached $36.2 million, a 20% increase year-over-year.
  • GAAP loss from operations improved to $11.9 million, compared to $13.9 million in Q3 2021.
  • Non-GAAP loss from operations improved to $6.5 million, compared to $9.9 million in Q3 2021.
  • Dollar-Based Net Retention Rate (NRR) was 101% as of September 30, 2022.

Headline financials

Total Revenue

$36.2M

Previous: $30.3M+19.6%
EPS (adj)

-$0.10

Previous: -$0.72+86.1%
Capital Expenditures

-$1.19M

Previous: -$5.73M+79.2%
Free Cash Flow

-$13M

Previous: -$20M+34.8%
Net Income

-$11.8M

Previous: -$14.2M+16.9%
Operating Income

-$11.9M

Previous: -$13.9M+14.8%
Gross Profit

$23.2M

Previous: $17.4M+33.1%
Cash & Equivalents

$118M

Previous: $40.4M+193.0%
Total Assets

$213M

Previous: $92.9M+128.8%
Stock-Based Comp

$5.32M

Previous: $3.95M+34.6%

Revenue & EPS history

Weave · Revenue · Quarterly

$36.2M

Q3 2022+19.6%vs Q3 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Weave · $36.2M total across 3 segments · Q3 2022

  • Subscription and payment processing
    $34.9M+23.1%
  • Phone Hardware
    $1.01M+11.0%
  • Onboarding
    $278K-72.6%

Forward guidance

The company expects total revenue between $36.0 million and $37.0 million for the fourth quarter and between $140.5 million and $141.5 million for the full year 2022. Non-GAAP loss from operations is expected to be between $(7.5) million and $(6.5) million for the fourth quarter and between $(34.0) million and $(33.0) 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 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-0.9%

Avg return

Earnings day

-3.2%

Avg return

5 days after

-3.3%

Avg return

30 days after

39%

9 / 23 earnings

Positive

+28.0%

Q1 2023

Best reaction

-19.1%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.0%+22.4%+22.6%
Q4 2025-4.7%-14.0%-16.7%
Q3 2025-0.6%-0.9%-3.0%
Q1 2025-11.5%-2.5%-9.3%
Q4 2024-15.6%-24.1%-30.7%
Q3 2024+3.9%-3.6%+1.3%
Q2 2024+6.4%-0.1%+10.2%
Q1 2024-19.1%-22.1%-19.1%
Q4 2023-11.9%+2.9%-6.0%
Q3 2023+18.4%+15.9%+37.7%
Q2 2023-4.8%-12.5%-10.4%
Q1 2023+28.0%+30.4%+83.5%
Q4 2022+10.5%+1.8%-2.2%
Q3 2022-10.1%-10.5%-27.4%
Q2 2021+2.2%-0.8%+7.8%
Q2 2022+7.2%+0.0%+16.9%
Q1 2021+0.2%+3.4%-7.4%
Q1 2022+15.0%-7.2%+10.0%
Q4 2019-2.7%-5.5%-20.7%
Q4 2021-18.9%-34.4%-38.7%
Q4 2020-3.7%-1.6%-24.0%
Q3 2020-3.7%-1.6%-24.0%
Q3 2021-4.2%-7.8%-26.0%
Q2 2020
Q1 2020

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