Here is why Bill.com shares are up 15%
- Bill.com top Q4 2022 earnings and revenue results
- FY2022 revenue was $642 million
- Bill.com expects revenue of $208 to $211 in Q1 2023
Bill.com (NYSE: BILL) shares are up more than 15% premarket after the firm posted solid Q4 and fiscal year ending June 30, 2022.
Founder and CEO Rene Lacerte said:
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We delivered a strong fourth quarter to conclude fiscal 2022, serving 400,000 businesses and crossing $200 million in quarterly revenue. Fiscal 2022 was a transformative year for Bill.com.
The company reported an adjusted non-GAAP net loss of $3.3 million or $0.03 per share, beating consensus estimates of $0.14 per share. A year ago, the company had a non-GAAP net loss of $5.8 million of $0.07 per basic diluted share.
Bill.com reported 156% revenue growth in Q4 2022
During the quarter, the company realized revenue of $200.2 million, representing a YoY increase of 156% and better than estimates of $183.6 million..
For the full year, the company had total revenue of $642 million, representing 169%. Net loss for fiscal 2022 was $326.4 million or $3.21 per diluted share, with a non-GAAP net loss for the entire year being $24.3 million or $0.24 per diluted share.
Bill.com expects revenue of $208 to $211 in Q1 2023
Bill.com CFO John Rettig commented:
Looking ahead, we expect to deliver high revenue growth and to transition to being a non-GAAP profitable company in fiscal year 2023.
For the current quarter, the company anticipates adjusted earnings per share to range from $0.05 to $0.07, with analysts calling for earnings of $0.1 per share. Revenue for the quarter is expected to be between $208 million and $211 million, beating analysts’ estimates of $190.8 million.
Bill.com expects full-year earnings of $0.305 per share at the midpoint, in line with analysts’ projections of $0.3 per share. Revenue for the full year will be between $955.5 million and $973.5 million, beating analysts’ estimates of $892.6 million.
Commenting on the results Goldman Sachs analyst Will Nance said the company had string results. He added that while they believe that some of the stock reaction will depend on the company’s commentary on how macro risks are impacting SMB client base, they believe the solid beat in Q4 and initial guidance for FY2023 will be well received by investors.
Also Jefferies analyst Samad Samana said that the firm delivered a “perfect print” which answered any doubts regarding its momentum. Samana added that the software firm’s outlook “blew away” estimates.