NYSE$WK

Workiva Inc. · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported a solid quarter with subscription revenue growth and increased customer contracts.

Workiva announced its Q1 2023 financial results, reporting a total revenue of $150.2 million, a 16% increase compared to Q1 2022. The company's subscription and support revenue grew by 21% year-over-year. Workiva had 5,754 customers as of March 31, 2023, a net increase of 1,346 customers from March 31, 2022.

  • Total revenue for Q1 2023 reached $150.2 million, up 16% from Q1 2022.
  • Subscription and support revenue increased to $129.7 million, a 21% increase year-over-year.
  • GAAP gross profit for Q1 2023 was $111.7 million, compared to $98.8 million in the same quarter of 2022.
  • Workiva had 5,754 customers as of March 31, 2023, including 919 ParsePort ESEF customers, a net increase of 1,346 customers from March 31, 2022.

Headline financials

Total Revenue

$150M

Previous: $130M+15.8%
EPS (adj)

-$0.12

Previous: -$0.05-140.0%
Number of customers

5.8K

Previous: 4.4K+30.5%
Customers with ACV > $100K

1.4K

Previous: 1.1K+21.3%
Customers with ACV > $300K

247

Previous: 186+32.8%
Capital Expenditures

-$198K

Previous: -$532K+62.8%
Free Cash Flow

-$46.3M

Previous: -$19M-143.6%
Net Income

-$46.2M

Previous: -$18.5M-149.6%
Operating Income

-$46.8M

Previous: -$17.2M-172.7%
Gross Profit

$112M

Previous: $98.8M+13.0%
Cash & Equivalents

$195M

Previous: $303M-35.5%
Total Assets

$800M

Previous: $770M+3.9%
Stock-Based Comp

$38M

Previous: $15.3M+148.5%

Revenue & EPS history

Workiva · Revenue · Quarterly

$150M

Q1 2023+15.8%vs Q1 2022
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Workiva · $150M total across 2 segments · Q1 2023

  • Subscription and support
    $130M+21.1%
  • Professional services
    $20.5M-9.3%

Forward guidance

Workiva is providing the following guidance as of May 2, 2023: For the second quarter of 2023, total revenue is expected to be in the range of $153.0 million to $154.0 million. For the full year 2023, total revenue is expected to be in the range of $626.0 million to $628.0 million.

Tailwinds

  • Total revenue is expected to be in the range of $153.0 million to $154.0 million for Q2 2023.
  • GAAP loss from operations is expected to be in the range of $27.0 million to $26.0 million for Q2 2023.
  • Non-GAAP loss from operations is expected to be in the range of $5.0 million to $4.0 million for Q2 2023.
  • GAAP net loss per basic share is expected to be in the range of $0.50 to $0.48.
  • Non-GAAP net loss per basic share is expected to be in the range of $0.09 to $0.07.

Headwinds

  • GAAP loss from operations is expected to be in the range of $27.0 million to $26.0 million for Q2 2023.
  • Non-GAAP loss from operations is expected to be in the range of $5.0 million to $4.0 million for Q2 2023.
  • GAAP net loss per basic share is expected to be in the range of $0.50 to $0.48.
  • Non-GAAP net loss per basic share is expected to be in the range of $0.09 to $0.07.
  • Net loss per basic share is based on 53.8 million weighted-average shares outstanding.

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 2023

Historical avgQ1 2023

+1.6%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+3.1%

Avg return

30 days after

56%

25 / 45 earnings

Positive

+21.1%

Q3 2020

Best reaction

-15.3%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.0%-16.2%-11.9%
Q4 2025+3.6%-0.3%+2.5%
Q3 2025+6.4%+13.6%+12.5%
Q1 2025-9.7%-8.9%-9.5%
Q4 2024+7.0%+3.2%-5.7%
Q3 2024+10.9%+14.4%+24.7%
Q2 2024-2.1%-3.3%+6.0%
Q1 2024+1.7%+2.2%-4.1%
Q4 2023-12.6%-6.7%-9.7%
Q3 2023-6.9%-4.1%+2.5%
Q2 2023+5.4%+4.8%+8.3%
Q1 2023-6.7%-4.9%+3.9%
Q4 2022-0.7%-0.9%+10.4%
Q3 2022-6.9%-7.9%+13.0%
Q2 2022+5.2%+4.1%-2.4%
Q1 2022-9.2%-20.0%-21.5%
Q4 2021-9.8%-2.1%+7.7%
Q3 2021+8.7%+9.9%-11.4%
Q2 2021+7.5%+3.2%+12.6%
Q1 2021-0.5%-0.7%-0.3%
Q4 2020+3.0%-0.7%-13.2%
Q3 2020+21.1%+19.8%+35.5%
Q2 2020+0.6%-2.6%-2.6%
Q1 2020-4.0%+1.6%+19.2%
Q4 2019-3.4%-7.9%-39.9%
Q3 2019-6.6%+0.2%+6.0%
Q2 2019+11.2%+12.6%-16.3%
Q1 2019-0.6%-0.1%+4.7%
Q4 2018+9.3%+10.7%+7.7%
Q3 2018+16.4%+3.1%-0.1%
Q2 2018+17.1%+18.7%+50.8%
Q1 2018+15.0%+20.1%+17.2%
Q4 2017-15.3%-12.6%-10.9%
Q3 2017+0.0%-2.2%-6.3%
Q2 2017+4.4%+1.0%+3.4%
Q1 2017+7.8%+6.6%+12.6%
Q4 2016+7.8%+10.7%+11.9%
Q3 2016-10.3%-11.9%-17.0%
Q2 2016+7.3%+14.7%+30.1%
Q1 2016-4.4%
Q4 2015-2.1%
Q3 2015+7.5%
Q2 2015+2.1%
Q1 2015+0.1%
Q4 2014-4.8%
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013

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