- Second Quarter Revenue Increased 3% Year-over-Year to $100.9
Million
- Customer Count Increased 8% Year-over-Year to Over 2,870
- ARR Increased 2% Year-over-Year to $387 Million
- Cash and Cash Equivalents of $188 Million
- Issues Guidance for Third Quarter Fiscal 2023 and Updates
Guidance for Full Year Fiscal 2023
Yext, Inc. (NYSE: YEXT), the Answers Company, today announced
its results for the three months ended July 31, 2022, or the
Company's second quarter of fiscal 2023.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20220907006111/en/
"Our strong second quarter results demonstrate that we are
executing well against our customer-centric strategy, while making
clear progress on our path to profitability," said Mike Walrath,
Chief Executive Officer at Yext. "During the quarter, we
strengthened our brand positioning, executed on our go-to-market
strategy, and laid the groundwork for future growth opportunities,
and our outlook reflects continued confidence in our ability to
drive success for our customers."
Second Quarter Fiscal 2023 Highlights:
- Revenue of $100.9 million, a 3% increase, compared to
$98.1 million reported in the second quarter fiscal 2022. Second
quarter revenue included a negative impact of approximately $2.8
million from foreign currency exchange rates, using a constant
currency basis.
- Gross Profit of $73.8 million, a 3% increase, compared
to $71.5 million reported in the second quarter fiscal 2022. Gross
margin of 73.2%, compared to 72.9% reported in the second quarter
fiscal 2022.
- Net Loss and Non-GAAP Net Loss:
- Net loss of $20.0 million, compared to the net loss of $27.6
million in the second quarter fiscal 2022.
- Non-GAAP net loss of $3.9 million, compared to the non-GAAP net
loss of $7.2 million in the second quarter fiscal 2022.
- Net Loss Per Share and Non-GAAP Net Loss Per Share:
- Net loss per share of $0.16 in the second quarter fiscal 2023,
compared to net loss per share of $0.22 in the second quarter
fiscal 2022.
- Non-GAAP net loss per share of $0.03 in the second quarter
fiscal 2023, compared to non-GAAP net loss per share of $0.06 in
the second quarter fiscal 2022.
- Net loss per share and non-GAAP net loss per share were each
based on 124.2 million and 126.9 million weighted-average basic
shares outstanding for the second quarter fiscal 2023 and for the
second quarter fiscal 2022, respectively.
- Balance Sheet: Cash and cash equivalents of $188 million
as of July 31, 2022. Unearned revenue of $166 million as of July
31, 2022, compared to $165 million as of July 31, 2021.
- Remaining Performance Obligations ("RPO"): RPO of $327
million as of July 31, 2022. RPO expected to be recognized over the
next 24 months of $310 million with the remaining balance expected
to be recognized thereafter. RPO does not include amounts under
contract subject to certain accounting exclusions.
- Cash Flow: Net cash used in operating activities was
$25.2 million for the three months ended July 31, 2022, compared to
net cash used in operating activities of $32.6 million for the
three months ended July 31, 2021.
Readers are encouraged to review the tables labeled
"Reconciliation of GAAP to Non-GAAP Financial Measures" at the end
of this release.
Recent Business Highlights:
- Announced that Raianne Reiss, a veteran with more than 20 years
of global technology marketing experience, has joined Yext as Chief
Marketing Officer to spearhead the Company's ambitious growth
objectives.
- Announced the availability of Yext's Summer '22 Release for
early access. New features highlight the Company's commitment to
creating a powerful, composable platform that can be flexibly
deployed to address a wide variety of business needs.
- Named a Leader in 27 of G2's Summer '22 Grid® Reports, which
measure a company's market presence and performance based on real
user ratings.
- Named one of the Best Workplaces in New York in 2022 by Great
Place to Work® and Fortune Magazine, ranking #15 for large-sized
businesses.
- Announced the availability of new features for hospitality
brands leveraging its Tripadvisor integration, supporting more than
40 fields and allowing hoteliers to add available options for
recreation, dining, parking and more.
- Announced a partnership with Snowflake, the Data Cloud company,
to further improve the analytics functionality of its award-winning
platform.
- Announced a partnership with what3words, a platform that's
revolutionizing the way we communicate location, giving customers
more control over their location data.
- Customer count, which excludes our small business and
third-party reseller customers, increased 8% year-over-year to over
2,870 as of July 31, 2022.
- Annual recurring revenue, or ARR, increased 2% year-over-year
to $387 million as of July 31, 2022, compared to $378 million as of
July 31, 2021. As of July 31, 2022, ARR included an approximate
$10.8 million negative impact from foreign currency exchange rates,
on a constant currency basis.
Financial Outlook:
Yext is also providing the following guidance for its third
fiscal quarter ending October 31, 2022 and the fiscal year ending
January 31, 2023.
- Third Quarter Fiscal 2023 Outlook:
- Revenue is projected to be in the range of $99.0 million to
$100.0 million. Our third quarter revenue guidance includes a
negative impact of $1.0 million to reflect recent foreign currency
exchange rates.
- Non-GAAP earnings per share is projected to be $(0.01) to $0.01
which assumes 124.4 million weighted-average basic shares
outstanding.
- Full Year Fiscal 2023 Outlook:
- Revenue is projected to be in the range of $399.4 million to
$401.4 million. Our full year revenue guidance includes a negative
impact of $8.0 million to reflect recent foreign currency exchange
rates.
- Non-GAAP net loss per share is projected to be $0.08 to $0.06
which assumes 126.3 million weighted-average basic shares
outstanding.
Conference Call
Information
Yext will host a conference call today at 4:30 P.M. Eastern Time
(1:30 P.M. Pacific Time) to discuss its financial results with the
investment community. A live webcast of the call will be available
on the Yext Investor Relations website at
http://investors.yext.com. A live dial-in is available domestically
at (877) 883-0383 and internationally at (412) 902-6506, passcode
1716758.
A replay will be available domestically at (877) 344-7529 or
internationally at (412) 317-0088, passcode 5348618, until midnight
(ET) September 16, 2022.
About Yext
Yext (NYSE: YEXT) helps organizations answer every question
about their business. Yext’s Answers Platform collects and
organizes content into a Knowledge Graph, then leverages a
complementary set of products — including Listings, Pages, Reviews
and Search — to deliver relevant, actionable answers wherever
customers, employees, and partners look for information. For over
15 years, thousands of companies worldwide have trusted Yext to
create seamless content-driven experiences at scale across search
engines, websites, mobile apps, and hundreds of other digital
touchpoints. Learn more at yext.com.
Safe Harbor Statement Under the Private
Securities Litigation Reform Act of 1995
This release includes forward-looking statements including, but
not limited to, statements regarding our revenue, non-GAAP net loss
and shares outstanding for our third quarter and full year fiscal
2023 in the paragraphs under "Financial Outlook" above, statements
regarding the impact of the COVID-19 pandemic on our business and
results of operations and other statements regarding our
expectations regarding the growth of our company, our market
opportunity, product roadmap, sales efficiency efforts and our
industry. In some cases, you can identify forward-looking
statements by terminology such as "may," "will," "should," "could,"
"expect," "plan," "anticipate," "believe," "estimate," "predict,"
"intend," "potential," "might," "would," "continue," or the
negative of these terms or other comparable terminology. Actual
events or results may differ from those expressed in these
forward-looking statements, and these differences may be material
and adverse.
We have based the forward-looking statements contained in this
release primarily on our current expectations and projections about
future events and trends that we believe may affect our business,
financial condition, results of operations, strategy, short- and
long-term business operations, prospects, business strategy and
financial needs. Our actual results could differ materially from
those stated or implied in forward-looking statements due to a
number of factors, including, but not limited to, the impact of the
COVID-19 pandemic and its variants on U.S. and global markets, our
business, operations, financial results, cash flow, demand for our
products, sales cycles, and customer acquisition and retention; our
ability to renew and expand subscriptions with existing customers
especially enterprise customers and attract new customers
generally; our ability to successfully expand and compete in new
geographies and industry verticals; our ability to expand and scale
our sales force; our ability to expand our service and application
provider network; our ability to develop new product and platform
offerings to expand our market opportunity, including with Yext
Answers; our ability to release new products and updates that are
adopted by our customers; our ability to manage our growth
effectively; weakened or changing global economic conditions; the
number of options exercised by our employees and former employees;
and the accuracy of the assumptions and estimates underlying our
financial projections. For a detailed discussion of these and other
risk factors, please refer to the risks detailed in our filings
with the Securities and Exchange Commission, including, without
limitation, our most recent Quarterly Report on Form 10-Q and
Annual Report on Form 10-K, which are available at
http://investors.yext.com and on the SEC's website at
https://www.sec.gov. Further information on potential risks that
could affect actual results will be included in other filings we
make with the SEC from time to time. Moreover, we operate in a very
competitive and rapidly changing environment. New risks and
uncertainties emerge from time to time and it is not possible for
us to predict all risks and uncertainties that could have an impact
on the forward-looking statements contained in this release. We
cannot assure you that the results, events and circumstances
reflected in the forward-looking statements will be achieved or
occur, and actual results, events or circumstances could differ
materially from those described in the forward-looking
statements.
The forward-looking statements made in this release relate only
to events as of the date on which such statements are made. We
undertake no obligation to update any forward-looking statements
after the date hereof or to conform such statements to actual
results or revised expectations, except as required by law.
Non-GAAP Measurements
In addition to disclosing financial measures prepared in
accordance with U.S. generally accepted accounting principles
(GAAP), this press release and the accompanying tables include
non-GAAP cost of revenue, non-GAAP gross profit, non-GAAP gross
margin, non-GAAP operating expenses (sales and marketing, research
and development, general and administrative), non-GAAP operating
expenses (sales and marketing, research and development, general
and administrative) as a percentage of revenue, non-GAAP loss from
operations, non-GAAP operating margin, non-GAAP net income (loss),
non-GAAP net income (loss) per share, non-GAAP net income (loss) as
a percentage of revenue, which are referred to as non-GAAP
financial measures.
These non-GAAP financial measures are not calculated in
accordance with GAAP as they have been adjusted to exclude the
effects of stock-based compensation expenses. Non-GAAP gross
margin, non-GAAP operating expenses (sales and marketing, research
and development, general and administrative) as a percentage of
revenue, non-GAAP operating margin, and non-GAAP net income (loss)
as a percentage of revenue are calculated by dividing the
applicable non-GAAP financial measure by revenue. Non-GAAP net
income (loss) per share is defined as non-GAAP net income (loss) on
a per share basis. See "Reconciliation of GAAP to Non-GAAP
Financial Measures" for a discussion of the applicable
weighted-average shares outstanding.
We believe these non-GAAP financial measures provide investors
and other users of our financial information consistency and
comparability with our past financial performance and facilitate
period-to-period comparisons of our results of operations. With
respect to non-GAAP gross margin, non-GAAP operating expenses
(sales and marketing, research and development, general and
administrative) as a percentage of revenue, non-GAAP operating
margin and non-GAAP net loss/income as a percentage of revenue, we
believe these non-GAAP financial measures are useful in evaluating
our profitability relative to the amount of revenue generated,
excluding the impact of stock-based compensation expense. We also
believe non-GAAP financial measures are useful in evaluating our
operating performance compared to that of other companies in our
industry, as these metrics eliminate the effects of stock-based
compensation, which may vary for reasons unrelated to overall
operating performance.
In addition, we present non-GAAP constant currency measures of
revenue. Constant currency as it relates to revenue provides a
framework for assessing Company performance which exclude the
effect of foreign currency rate fluctuations. Current period
results for entities reporting in currencies other than U.S.
Dollars (“USD”) are converted into USD at the average monthly
exchange rates in effect during the comparative period, as opposed
to the average monthly exchange rates in effect during the current
period.
We use these non-GAAP financial measures in conjunction with
traditional GAAP measures as part of our overall assessment of our
performance, including the preparation of our annual operating
budget and quarterly forecasts, and to evaluate the effectiveness
of our business strategies. Our definition may differ from the
definitions used by other companies and therefore comparability may
be limited. In addition, other companies may not publish these or
similar metrics. Thus, our non-GAAP financial measures should be
considered in addition to, not as a substitute for, nor superior to
or in isolation from, measures prepared in accordance with
GAAP.
These non-GAAP financial measures may be limited in their
usefulness because they do not present the full economic effect of
our use of stock-based compensation. We compensate for these
limitations by providing investors and other users of our financial
information a reconciliation of the non-GAAP financial measure to
the most closely related GAAP financial measures. However, we have
not reconciled the non-GAAP guidance measures disclosed under
"Financial Outlook" to their corresponding GAAP measures because
certain reconciling items such as stock-based compensation and the
corresponding provision for income taxes depend on factors such as
the stock price at the time of award of future grants and thus
cannot be reasonably predicted. Accordingly, reconciliations to the
non-GAAP guidance measures is not available without unreasonable
effort. We encourage investors and others to review our financial
information in its entirety, not to rely on any single financial
measure and to view non-GAAP net loss/income and non-GAAP net
loss/income per share in conjunction with net loss and net loss per
share.
Operating Metrics
This press release also includes certain operating metrics that
we believe are useful in providing additional information in
assessing the overall performance of our business.
Customer count is defined as the total number of customers with
contracts executed as of the last day of the reporting period and a
unique administrative account identifier on the Yext platform. We
believe that customer count provides insight into our ability to
grow our enterprise and mid-market customer base. As such, customer
count excludes third-party reseller customers and small businesses
customers as well as customers only receiving free trials.
Annual recurring revenue, or ARR, for Direct customers is
defined as the annualized recurring amount of all contracts in our
enterprise, mid-market and small business customer base as of the
last day of the reporting period. The recurring amount of a
contract is determined based upon the terms of a contract and is
calculated by dividing the amount of a contract by the term of the
contract and then annualizing such amount. The calculation assumes
no subsequent changes to the existing subscription. Contracts
include portions of professional services contracts that are
recurring in nature.
ARR for Third-party Reseller customers is defined as the
annualized recurring amount of all contracts with Third-party
Reseller customers as of the last day of the reporting period. The
recurring amount of a contract is determined based upon the terms
of a contract and is calculated by dividing the amount of a
contract by the term of the contract and then annualizing such
amount. The calculation assumes no subsequent changes to the
existing subscription. The calculation includes the annualized
contractual minimum commitment and excludes amounts related to
overages above the contractual minimum commitments. Contracts
include portions of professional services contracts that are
recurring in nature.
Total ARR is defined as the annualized recurring amount of all
contracts executed as of the last day of the reporting period. The
recurring amount of a contract is determined based upon the terms
of a contract and is calculated by dividing the amount of a
contract by the term of the contract and then annualizing such
amount. The calculation assumes, where relevant, no subsequent
changes to the existing subscription, includes the annualized
contractual minimum commitment and excludes amounts related to
overages above the contractual minimum commitment. Contracts
include portions of professional services contracts that are
recurring in nature.
ARR is independent of historical revenue, unearned revenue,
remaining performance obligations or any other GAAP financial
measure over any period. It should be considered in addition to,
not as a substitute for, nor superior to or in isolation from,
these measures and other measures prepared in accordance with GAAP.
We believe ARR-based metrics provides insight into the performance
of our recurring revenue business model while mitigating for
fluctuations in billing and contract terms.
In addition, we present ARR on a constant currency basis.
Constant currency as it relates to ARR provides a framework for
assessing Company performance which exclude the effect of foreign
currency rate fluctuations. Contracts included in the determination
of ARR in the current period are converted into USD at the exchange
rates in effect at the end of the comparative period, as opposed to
the end of the period exchange rates in effect during the current
period.
YEXT, INC.
Condensed Consolidated Balance
Sheets
(In thousands, except share
and per share data)
(Unaudited)
July 31, 2022
January 31, 2022
Assets
Current assets:
Cash and cash equivalents
$
187,906
$
261,210
Accounts receivable, net of allowances of
$2,065 and $2,042, respectively
53,422
101,607
Prepaid expenses and other current
assets
18,107
13,538
Costs to obtain revenue contracts,
current
30,865
33,998
Total current assets
290,300
410,353
Property and equipment, net
69,190
74,604
Operating lease right-of-use assets
90,867
97,124
Costs to obtain revenue contracts,
non-current
21,382
27,286
Goodwill
4,310
4,572
Intangible assets, net
205
217
Other long term assets
4,070
6,179
Total assets
$
480,324
$
620,335
Liabilities and stockholders’
equity
Current liabilities:
Accounts payable, accrued expenses and
other current liabilities
$
47,335
$
48,432
Unearned revenue, current
165,889
223,427
Operating lease liabilities, current
18,100
18,845
Total current liabilities
231,324
290,704
Operating lease liabilities,
non-current
106,703
113,776
Other long term liabilities
3,351
3,985
Total liabilities
341,378
408,465
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value per
share; 50,000,000 shares authorized at July 31, 2022 and January
31, 2022; zero shares issued and outstanding at July 31, 2022 and
January 31, 2022
—
—
Common stock, $0.001 par value per share;
500,000,000 shares authorized at July 31, 2022 and January 31,
2022; 140,562,586 and 137,662,320 shares issued at July 31, 2022
and January 31, 2022, respectively; 123,833,157 and 131,156,986
shares outstanding at July 31, 2022 and January 31, 2022,
respectively
140
137
Additional paid-in capital
871,700
834,429
Accumulated other comprehensive loss
(5,608
)
(187
)
Accumulated deficit
(656,434
)
(610,604
)
Treasury stock, at cost
(70,852
)
(11,905
)
Total stockholders’ equity
138,946
211,870
Total liabilities and stockholders’
equity
$
480,324
$
620,335
YEXT, INC.
Condensed Consolidated
Statements of Operations and Comprehensive Loss
(In thousands, except share
and per share data)
(Unaudited)
Three months ended July
31,
Six months ended July
31,
2022
2021
2022
2021
Revenue
$
100,869
$
98,124
$
199,671
$
190,116
Cost of revenue
27,082
26,615
51,810
48,469
Gross profit
73,787
71,509
147,861
141,647
Operating expenses:
Sales and marketing
54,105
58,578
114,884
113,744
Research and development
18,819
18,500
36,121
32,357
General and administrative
20,384
20,843
41,879
39,190
Total operating expenses
93,308
97,921
192,884
185,291
Loss from operations
(19,521
)
(26,412
)
(45,023
)
(43,644
)
Interest income
185
4
210
10
Interest expense
(129
)
(158
)
(272
)
(290
)
Other expense, net
138
(741
)
267
(827
)
Loss from operations before income
taxes
(19,327
)
(27,307
)
(44,818
)
(44,751
)
(Provision for) benefit from income
taxes
(664
)
(285
)
(1,012
)
(472
)
Net loss
$
(19,991
)
$
(27,592
)
$
(45,830
)
$
(45,223
)
Net loss per share attributable to common
stockholders, basic and diluted
$
(0.16
)
$
(0.22
)
$
(0.36
)
$
(0.36
)
Weighted-average number of shares used in
computing net loss per share attributable to common stockholders,
basic and diluted
124,234,226
126,906,937
127,631,877
126,152,602
Other comprehensive (loss) income:
Foreign currency translation
adjustment
$
(2,007
)
$
(8
)
$
(5,421
)
$
347
Total comprehensive loss
$
(21,998
)
$
(27,600
)
$
(51,251
)
$
(44,876
)
YEXT, INC.
Condensed Consolidated
Statements of Cash Flows
(In thousands)
(Unaudited)
Six months ended July
31,
2022
2021
Operating activities:
Net loss
$
(45,830
)
$
(45,223
)
Adjustments to reconcile net loss to net
cash provided by operating activities:
Depreciation and amortization expense
8,702
7,933
Bad debt expense
491
909
Stock-based compensation expense
34,168
35,000
Amortization of operating lease
right-of-use assets
4,547
4,619
Other, net
975
371
Changes in operating assets and
liabilities:
Accounts receivable
45,808
37,618
Prepaid expenses and other current
assets
(4,716
)
1,681
Costs to obtain revenue contracts
7,583
(8,442
)
Other long term assets
956
15
Accounts payable, accrued expenses and
other current liabilities
242
(711
)
Unearned revenue
(54,154
)
(26,337
)
Operating lease liabilities
(5,991
)
(5,634
)
Other long term liabilities
(86
)
650
Net cash (used in) provided by operating
activities
(7,305
)
2,449
Investing activities:
Capital expenditures
(3,875
)
(10,555
)
Net cash used in investing activities
(3,875
)
(10,555
)
Financing activities:
Proceeds from exercise of stock
options
525
14,439
Repurchase of common stock
(58,722
)
—
Payments of deferred financing costs
(283
)
(263
)
Proceeds, net from employee stock purchase
plan withholdings
1,912
3,409
Net cash (used in) provided by financing
activities
(56,568
)
17,585
Effect of exchange rate changes on cash
and cash equivalents
(5,556
)
600
Net (decrease) increase in cash and cash
equivalents
(73,304
)
10,079
Cash and cash equivalents at beginning of
period
261,210
230,411
Cash and cash equivalents at end of
period
$
187,906
$
240,490
YEXT, INC.
Reconciliation of GAAP to
Non-GAAP Financial Measures
(In thousands)
(Unaudited)
Three months ended July 31,
2022
Costs and
expenses
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
$
27,082
$
(1,341
)
$
25,741
Sales and marketing
$
54,105
$
(6,149
)
$
47,956
Research and development
$
18,819
$
(4,202
)
$
14,617
General and administrative
$
20,384
$
(4,390
)
$
15,994
Three months ended July 31,
2022
Costs and
expenses as a percentage of revenue
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
27
%
(1
) %
26
%
Sales and marketing
54
%
(6
) %
48
%
Research and development
18
%
(4
) %
14
%
General and administrative
20
%
(4
) %
16
%
Three months ended July 31,
2021
Costs and
expenses
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
$
26,615
$
(2,312
)
$
24,303
Sales and marketing
$
58,578
$
(7,377
)
$
51,201
Research and development
$
18,500
$
(5,828
)
$
12,672
General and administrative
$
20,843
$
(4,885
)
$
15,958
Three months ended July 31,
2021
Costs and
expenses as a percentage of revenue
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
27
%
(2
) %
25
%
Sales and marketing
60
%
(8
) %
52
%
Research and development
19
%
(6
) %
13
%
General and administrative
21
%
(5
) %
16
%
_____________
Note: Numbers rounded for presentation
purposes and may not sum.
YEXT, INC.
Reconciliation of GAAP to
Non-GAAP Financial Measures
(In thousands)
(Unaudited)
Six months ended July 31,
2022
Costs and
expenses
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
$
51,810
$
(2,723
)
$
49,087
Sales and marketing
$
114,884
$
(12,525
)
$
102,359
Research and development
$
36,121
$
(8,722
)
$
27,399
General and administrative
$
41,879
$
(10,198
)
$
31,681
Six months ended July 31,
2022
Costs and
expenses as a percentage of revenue
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
26
%
(1
) %
25
%
Sales and marketing
58
%
(7
) %
51
%
Research and development
18
%
(4
) %
14
%
General and administrative
21
%
(5
) %
16
%
Six months ended July 31,
2021
Costs and
expenses
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
$
48,469
$
(3,757
)
$
44,712
Sales and marketing
$
113,744
$
(12,878
)
$
100,866
Research and development
$
32,357
$
(9,816
)
$
22,541
General and administrative
$
39,190
$
(8,549
)
$
30,641
Six months ended July 31,
2021
Costs and
expenses as a percentage of revenue
GAAP
Stock-Based Compensation
Expense
Non-GAAP
Cost of revenue
25
%
(1
) %
24
%
Sales and marketing
60
%
(7
) %
53
%
Research and development
17
%
(5
) %
12
%
General and administrative
21
%
(5
) %
16
%
_____________
Note: Numbers rounded for presentation
purposes and may not sum.
YEXT, INC.
Reconciliation of GAAP to
Non-GAAP Financial Measures
(In thousands)
(Unaudited)
Three months ended July
31,
Six months ended July
31,
2022
2021
2022
2021
Gross
profit
GAAP gross profit
$
73,787
$
71,509
$
147,861
$
141,647
Plus: Stock-based compensation expense
1,341
2,312
2,723
3,757
Non-GAAP gross profit
$
75,128
$
73,821
$
150,584
$
145,404
Gross
margin
GAAP gross margin
73.2
%
72.9
%
74.1
%
74.5
%
Plus: Stock-based compensation expense
1.3
%
2.3
%
1.3
%
2.0
%
Non-GAAP gross margin
74.5
%
75.2
%
75.4
%
76.5
%
Operating
expenses
GAAP operating expenses
$
93,308
$
97,921
$
192,884
$
185,291
Less: Stock-based compensation expense
(14,741
)
(18,090
)
(31,445
)
(31,243
)
Non-GAAP operating expenses
$
78,567
$
79,831
$
161,439
$
154,048
Operating
expenses as a percentage of revenue
GAAP operating expenses as a percentage of
revenue
92
%
100
%
97
%
98
%
Less: Stock-based compensation expense
(14
) %
(19
) %
(16
) %
(17
) %
Non-GAAP operating expenses as a
percentage of revenue
78
%
81
%
81
%
81
%
Loss from
operations
GAAP loss from operations
$
(19,521
)
$
(26,412
)
$
(45,023
)
$
(43,644
)
Plus: Stock-based compensation expense
16,082
20,402
34,168
35,000
Non-GAAP loss from operations
$
(3,439
)
$
(6,010
)
$
(10,855
)
$
(8,644
)
Operating margin
(Loss from operations as a percentage of revenue)
GAAP operating margin
(19
) %
(27
) %
(23
) %
(23
) %
Plus: Stock-based compensation expense
16
%
21
%
18
%
18
%
Non-GAAP operating margin
(3
) %
(6
) %
(5
) %
(5
) %
_____________
Note: Numbers rounded for presentation
purposes and may not sum.
YEXT, INC.
Reconciliation of GAAP to
Non-GAAP Financial Measures
(In thousands, except share
and per share data)
(Unaudited)
Three months ended July
31,
2022
2021
GAAP net loss
$
(19,991
)
$
(27,592
)
Plus: Stock-based compensation expense
16,082
20,402
Non-GAAP net loss
$
(3,909
)
$
(7,190
)
GAAP net loss per share attributable to
common stockholders, basic and diluted
$
(0.16
)
$
(0.22
)
Stock-based compensation expense per
share
0.13
0.16
Non-GAAP net loss per share attributable
to common stockholders, basic and diluted
$
(0.03
)
$
(0.06
)
Weighted-average number of shares used in
computing net loss per share attributable to common stockholders,
basic and diluted
124,234,226
126,906,937
Three months ended July
31,
2022
2021
GAAP net loss as a percentage of
revenue
(19.8
) %
(28.1
) %
Plus: Stock-based compensation expense
15.9
%
20.8
%
Non-GAAP net loss as a percentage of
revenue
(3.9
) %
(7.3
) %
Six months ended July
31,
2022
2021
GAAP net loss
$
(45,830
)
$
(45,223
)
Plus: Stock-based compensation expense
34,168
35,000
Non-GAAP net loss
$
(11,662
)
$
(10,223
)
GAAP net loss per share attributable to
common stockholders, basic and diluted
$
(0.36
)
$
(0.36
)
Stock-based compensation expense per
share
0.27
0.28
Non-GAAP net loss per share attributable
to common stockholders, basic and diluted
$
(0.09
)
$
(0.08
)
Weighted-average number of shares used in
computing net loss per share attributable to common stockholders,
basic and diluted
127,631,877
126,152,602
Six months ended July
31,
2022
2021
GAAP net loss as a percentage of
revenue
(23.0
) %
(23.8
) %
Plus: Stock-based compensation expense
17.2
%
18.4
%
Non-GAAP net loss as a percentage of
revenue
(5.8
) %
(5.4
) %
_____________
Note: Numbers rounded for presentation
purposes and may not sum.
YEXT, INC.
Reconciliation of GAAP to
Non-GAAP Financial Measures
(In thousands)
(Unaudited)
Three months ended July
31,
Constant Currency
Revenue
2022
2021
Growth Rates
Revenue (GAAP)
$
100,869
$
98,124
3 %
Effects of foreign currency rate
fluctuations
2,782
Revenue on a constant currency basis
(Non-GAAP)
$
103,651
6 %
Six months ended July
31,
2022
2021
Growth Rates
Revenue (GAAP)
$
199,671
$
190,116
5 %
Effects of foreign currency rate
fluctuations
4,168
Revenue on a constant currency basis
(Non-GAAP)
$
203,839
7 %
_____________
Note: Numbers rounded for presentation
purposes and may not sum.
YEXT, INC.
Supplemental
Information
(In thousands)
(Unaudited)
July 31,
Variance
2022
2021
Dollars
Percent
Annual Recurring
Revenue
Direct Customers
$
312,129
$
297,861
$
14,268
5
%
Third-Party Reseller Customers
74,857
79,953
(5,096
)
(6
) %
Total Annual Recurring Revenue
$
386,986
$
377,814
$
9,172
2
%
Jul. 31, 2022
Apr. 30, 2022
Jan. 31, 2022
Oct. 31, 2021
Jul. 31, 2021
Annual Recurring
Revenue Trend
Direct Customers
$
312,129
$
310,312
$
312,132
$
308,197
$
297,861
Third-Party Reseller Customers
74,857
76,671
78,353
78,457
79,953
Total Annual Recurring Revenue
$
386,986
$
386,983
$
390,485
$
386,654
$
377,814
_____________
Note: Numbers rounded for presentation
purposes and may not sum.
SOURCE Yext, Inc.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220907006111/en/
Investor Relations: IR@yext.com
Public Relations: PR@yext.com
Yext (NYSE:YEXT)
Historical Stock Chart
From Feb 2023 to Mar 2023
Yext (NYSE:YEXT)
Historical Stock Chart
From Mar 2022 to Mar 2023
