Technology
Coveo Reports Second Quarter Fiscal 2025 Financial Results
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2 days agoon
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SaaS Subscription Revenue(1) of $31.2 million, above the top end of previous guidance
Cash flows from operating activities of $1.4 million, a 72% improvement year-over-year
Generative Answering customer base grows more than 50% since June 30, 2024
New and Expanded Partnerships with Salesforce, AWS, and Shopify
Coveo reports in U.S. dollars and in accordance with International Financial Reporting Standards (“IFRS”)
MONTREAL and SAN FRANCISCO, Nov. 4, 2024 /CNW/ – Coveo (TSX: CVO), the leading enterprise AI platform that brings AI search and generative AI (“GenAI”) to every point-of-experience, enabling remarkable personalized digital experiences, today announced financial results for its second quarter of fiscal year 2025 ended September 30, 2024.
“After a period of thorough evaluation and education, we continue to witness a shift among enterprises towards the adoption of AI solutions that deliver proven results and strong ROI. Our second quarter further validated this trend, with robust demand from new and existing customers,” said Louis Têtu, Chairman and CEO of Coveo. “We are building momentum as enterprises increasingly choose Coveo for personalized and efficient experiences that generate real business value. We are confident in our ability to sustain positive results and drive continued growth.”
Second Quarter Fiscal 2025 Summary Financial Highlights
The following table summarizes our financial results for the second quarter of fiscal year 2025:
In millions of U.S. Dollars, except as otherwise indicated
Q2 2025
Q2 2024
Change
SaaS Subscription Revenue(1)
$31.2
$29.4
6 %
Coveo core Platform(2)
$29.9
$26.9
11 %
Qubit Platform(3)
$1.3
$2.5
(51 %)
Total revenue
$32.7
$31.2
5 %
Gross margin
79 %
78 %
1 %
Product gross margin
82 %
82 %
–
Net loss
($5.4)
($6.5)
17 %
Adjusted EBITDA(4)
$1.5
$0.0
–
Cash flows from operating activities
$1.4
$0.8
72 %
Second Quarter Fiscal 2025 Financial Highlights
(All comparisons are relative to the three-month period ended September 30, 2023, unless otherwise stated)
SaaS Subscription Revenue(1) of $31.2 million, an increase of 6% compared to $29.4 million, surpassing the top end of guidance. Within this, SaaS Subscription Revenue for Coveo’s core Platform(2) was $29.9 million, an increase of 11%.Total revenue was $32.7 million compared to $31.2 million, an increase of 5%, and above the top end of guidance.Gross margin was 79%, up from 78% in the prior period. Product gross margin was 82%, consistent with the prior year.Operating loss was $4.8 million compared to $10.2 million, and net loss was $5.4 million compared to $6.5 million.Adjusted EBITDA(4) was $1.5 million compared to $0.0 million last year, and ahead of guidance.Cash flows from operating activities were $1.4 million compared to $0.8 million, an increase of 72%.Cash and cash equivalents were $128.2 million as of September 30, 2024.Net Expansion Rate(1) of 100% as of September 30, 2024. Net Expansion Rate(1) was 104% excluding customer attrition from customers using the Qubit Platform(5).
Other Business and Subsequent Highlights
Positive bookings momentum fueled by a combination of new and existing clients.Achieved the highest number of new logo wins in the past 24 months, winning customers such as Dentsply Sirona, Philip Morris Products, C.H. Robinson and others.Growing demand for Coveo’s Relevance Generative Answering solutions (CRGA), with more than 50% sequential increase in customer count. Customers such as SAP America, Zoom Video Communications, Extreme Networks and others adopted Coveo’s CRGA in the quarter.In addition to strengthening customer demand, Coveo also announced new and expanded relationships with several key alliance partners.Coveo unveiled a new partnership with Salesforce Data Cloud, providing enterprises with the ability to access content from Coveo within Data Cloud. On the back of this, Salesforce and Coveo have commenced joint advocacy showcasing Coveo’s capability to solve complex data requirements and relevance for enterprise customers.Separately announced last week, Coveo has partnered with Shopify to deliver best- in-class AI search and generative experiences to Shopify’s expanding enterprise customer base. This will enable AI-powered product discovery and personalization, driving increased conversion and revenue.Also announced last week, Coveo has joined Amazon Web Services ISV Accelerate program, bringing market-leading AI search, recommendations and generative experiences to AWS enterprise customers.In August, Coveo disclosed a strategic partnership with Optimizely, to bring AI powered search and relevance across sites to deliver personalized experiences at scale.Coveo announced the launch of Relevance-Augmented Passage Retrieval API (RAPR API), empowering organizations to connect their own Large Language Models with the full power of the Coveo Platform. Customer participation in the beta program for RAPR API is oversubscribed.Announced the election of Eric Lamarre to the Board of Directors. With over 30 years of experience, Mr. Lamarre is widely recognized for his expertise in AI and digital transformation.The company renewed its normal course issuer bid to purchase for cancellation a maximum of 2,690,573 subordinate voting shares over the twelve-month period commencing on July 17, 2024. As of September 30, 2024, the Company repurchased for cancellation 809,685 subordinate voting shares for a total consideration of $3.6 million.Coveo announced that it had completed the purchase of 6,493,506 of its subordinate voting shares (including 45,343 multiple voting shares on an as-converted basis) at C$7.70 per share under its substantial issuer bid.
Financial Outlook
The company is encouraged by the strengthening customer demand for its AI powered solutions and continues to anticipate momentum in new sales to build in the second half of the fiscal year. The company is also seeing, in select cases, enterprises carefully managing budgets which is leading to lower near term Net Expansion Rates.
The company’s financial outlook continues to include the assumption that the remaining revenue from the acquired Qubit Platform will continue to decline, as Coveo completes its integration of the platform and IP that was acquired with Qubit.
Taking these factors into consideration, Coveo anticipates SaaS Subscription Revenue(1), Total Revenue, and Adjusted EBITDA(4) for Q3 FY’25 and Full Year FY’25 as follows:
Q3 FY’25
Full Year FY’25
SaaS Subscription Revenue(1)
$31.8 – $32.3 million
$126.0 – $130.0 million
Total Revenue
$33.4 – $33.9 million
$133.0 – $138.0 million
Adjusted EBITDA(4)
$0.0 – $1.0 million
$0.0 – $4.0 million
For the Full Year FY’25, the company expects to remain within the previously issued guidance ranges, towards the low-to-midpoint of the ranges.
The company continues to anticipate achieving positive cash flow from operations of approximately $10 million for Fiscal 2025.
These statements are forward-looking and actual results may differ materially. Coveo’s outlook constitutes “financial outlook” within the meaning of applicable securities laws and is provided for the purpose of, among other things, assisting investors and others in understanding certain key elements of our expected financial results, as well as our objectives, strategic priorities and business outlook, and in obtaining a better understanding of our anticipated operating environment. Investors and others are cautioned that it may not be appropriate for other purposes. Please refer to the “Forward-Looking Information” and “Financial Outlook Assumptions” sections below for additional information on the factors that could cause our actual results to differ materially from these forward-looking statements and a description of the assumptions underlying same.
Q2 Conference Call and Webcast Information
Coveo will host a conference call today at 5:00 p.m. Eastern Time to discuss its financial results for its second quarter of fiscal year 2025. The call will be hosted by Louis Têtu, Chairman and CEO, Brandon Nussey, CFO and other members of its senior leadership team.
Conference Call:
Use the link above to join the conference call without operator assistance. If you prefer to have operator assistance, please dial: 1-800-836-8184
Live Webcast:
https://app.webinar.net/xnOKyRalgo5
Webcast Replay:
ir.coveo.com under the “News & Events” section
Non-IFRS Measures and Ratios
Coveo’s unaudited condensed interim consolidated financial statements have been prepared in accordance with IFRS as issued by the International Accounting Standards Board. The information presented in this press release includes non-IFRS financial measures and ratios, namely (i) Adjusted EBITDA; (ii) Adjusted Gross Profit, Adjusted Product Gross Profit, and Adjusted Professional Services Gross Profit (collectively referred to as our “Adjusted Gross Profit Measures”); (iii) Adjusted Gross Margin, Adjusted Product Gross Margin, and Adjusted Professional Services Gross Margin (collectively referred to as our “Adjusted Gross Margin Measures”); (iv) Adjusted Sales and Marketing Expenses, Adjusted Research and Product Development Expenses, and Adjusted General and Administrative Expenses (collectively referred to as our “Adjusted Operating Expense Measures”); and (v) Adjusted Sales and Marketing Expenses (%), Adjusted Research and Product Development Expenses (%), and Adjusted General and Administrative Expenses (%) (collectively referred to as our “Adjusted Operating Expense (%) Measures”). These measures and ratios are not recognized measures under IFRS and do not have standardized meanings prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures and ratios are provided as additional information to complement IFRS measures by providing further understanding of the company’s results of operations from management’s perspective.
Accordingly, these measures and ratios should not be considered in isolation nor as a substitute for analysis of the company’s financial information reported under IFRS. Adjusted EBITDA, the Adjusted Gross Profit Measures, the Adjusted Gross Margin Measures, the Adjusted Operating Expense Measures, and the Adjusted Operating Expense (%) Measures are used to provide investors with supplemental measures and ratios of the company’s operating performance and thus highlight trends in Coveo’s core business that may not otherwise be apparent when relying solely on IFRS measures and ratios. The company’s management also believes that securities analysts, investors, and other interested parties frequently use non-IFRS financial measures and ratios in the evaluation of issuers. Coveo’s management uses non-IFRS financial measures and ratios in order to facilitate operating performance comparisons from period to period, and to prepare annual operating budgets and forecasts.
See the “Non-IFRS Measures” section of our MD&A for the quarter ended September 30, 2024, which is available as of the date hereof under our profile on SEDAR+ at www.sedarplus.ca for a description of these measures. Please refer to the financial tables appended to this press release for additional information including a reconciliation of (i) Adjusted EBITDA to net loss; (ii) Adjusted Gross Profit to gross profit; (iii) Adjusted Product Gross Profit to product gross profit; (iv) Adjusted Professional Services Gross Profit to professional services gross profit; (v) Adjusted Sales and Marketing Expenses to sales and marketing expenses; (vi) Adjusted Research and Product Development Expenses to research and product development expenses; and (vii) Adjusted General and Administrative Expenses to general and administrative expenses.
Key Performance Indicators
This press release refers to “SaaS Subscription Revenue” and “Net Expansion Rate”. They are operating metrics used in Coveo’s industry. We monitor our key performance indicators to help us evaluate our business, measure our performance, identify trends, formulate business plans, and make strategic decisions. Our key performance indicators provide investors with supplemental measures of our operating performance and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures. We also believe that securities analysts, investors, and other interested parties frequently use industry metrics in the evaluation of issuers. Certain of our key performance indicators are measures that do not have any standardized meaning prescribed by IFRS Accounting Standards and therefore may not be comparable to similar measures presented by other issuers and cannot be reconciled to a directly comparable IFRS measure. Our key performance indicators may be calculated and designated in a manner different than similar key performance indicators used by other companies.
“SaaS Subscription Revenue” means the company’s SaaS subscription revenue, as presented in our financial statements in accordance with IFRS.
“Net Expansion Rate” is calculated by considering a cohort of customers at the end of the period 12 months prior to the end of the period selected and dividing the SaaS Annualized Contract Value (“SaaS ACV”, as defined below) attributable to that cohort at the end of the current period selected, by the SaaS ACV attributable to that cohort at the beginning of the period 12 months prior to the end of the period selected. Expressed as a percentage, the ratio (i) excludes any SaaS ACV from new customers added during the 12 months preceding the end of the period selected; (ii) includes incremental SaaS ACV made to the cohort over the 12 months preceding the end of the period selected; (iii) is net of the SaaS ACV from any customers whose subscriptions terminated or decreased over the 12 months preceding the end of the period selected; and (iv) is currency neutral and as such, excludes the effect of currency variation.
In this section and throughout this press release, “SaaS Annualized Contract Value” means the SaaS annualized contract value of a customer’s commitments calculated based on the terms of that customer’s subscriptions, and represents the committed annualized subscription amount as of the measurement date.
Please also refer to the “Key Performance Indicators” section of our latest MD&A, which is available under our profile on SEDAR+ at www.sedarplus.ca, for additional details on the abovementioned key performance indicators.
Forward-Looking Information
This press release contains “forward-looking information” and “forward-looking statements” within the meaning of applicable securities laws, including with respect to Coveo’s “financial outlook” (within the meaning of applicable securities laws) and related assumptions (as set forth below and elsewhere in this press release) for the three months ending December 31, 2024 and the year ending March 31, 2025 (for greater certainty, for cash flows from operations, solely the year ending March 31, 2025), and expectations regarding the remaining Qubit SaaS ACV, bookings performance and gross retention rates for fiscal 2025 (collectively, “forward-looking information”). This forward-looking information is identified by the use of terms and phrases such as “may”, “would”, “should”, “could”, “might”, “will”, “achieve”, “occur”, “expect”, “intend”, “estimate”, “anticipate”, “plan”, “foresee”, “believe”, “continue”, “target”, “opportunity”, “strategy”, “scheduled”, “outlook”, “forecast”, “projection”, or “prospect”, the negative of these terms and similar terminology, including references to assumptions, although not all forward-looking information contains these terms and phrases. In addition, any statements that refer to expectations, intentions, projections, or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management’s expectations, estimates, and projections regarding future events or circumstances.
Forward-looking information is necessarily based on a number of opinions, estimates, and assumptions (including those discussed under “Financial Outlook Assumptions” below and those discussed immediately hereunder) that we considered appropriate and reasonable as of the date such statements are made. Although the forward-looking information contained herein is based upon what we believe are reasonable assumptions, actual results may vary from the forward-looking information contained herein. Certain assumptions made in preparing the forward-looking information contained in herein include, without limitation (and in addition to those discussed under “Financial Outlook Assumptions” below): our ability to capitalize on growth opportunities and implement our growth strategy; our ability to attract new customers, expand our relationships with existing customers, and have existing customers renew their subscriptions; our ability to maintain successful strategic relationships with partners and other third parties; market awareness and acceptance of enterprise AI solutions in general and our products in particular; the market penetration of our new generative AI solutions, both with new and existing customers, and our ability to capture the generative AI opportunity; our future capital requirements, and availability of capital generally; the accuracy of our estimates of market opportunity, growth forecasts, and expectations around cash flow; our success in identifying and evaluating, as well as financing and integrating, any acquisitions, partnerships, or joint ventures; the significant influence of our principal shareholders; and our ability to convert pipeline into closed deals, and the timeframe thereof. Moreover, forward-looking information is subject to known and unknown risks, uncertainties, and other factors, many of which are beyond our control, that may cause the actual results, level of activity, performance, or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to macro-economic uncertainties and the risk factors described under “Risk Factors” in the company’s most recently filed Annual Information Form and under “Key Factors Affecting our Performance” in the company’s most recently filed MD&A, both available under our profile on SEDAR+ at . There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, prospective investors should not place undue reliance on forward-looking information, which speaks only as of the date made. Although we have attempted to identify important risk factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other risk factors not presently known to us or that we presently believe are not material that could also cause actual results or future events to differ materially from those expressed in such forward-looking information.
You should not rely on this forward-looking information, as actual outcomes and results may differ materially from those contemplated by this forward-looking information as a result of such risks and uncertainties. Additional information will also be set forth in other public filings that we make available under our profile on SEDAR+ at www.sedarplus.ca from time to time. The forward-looking information provided in this press release relates only to events or information as of the date hereof, and is expressly qualified in their entirety by this cautionary statement. Except as required by law, we do not assume any obligation to update or revise any forward-looking information, whether as a result of new information, future events, or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.
Financial Outlook Assumptions
Our financial outlook under the “Financial Outlook” section above and elsewhere in this press release is based on several assumptions, including the following, in addition to those set forth under the “Financial Outlook” section above and under the “Forward-Looking Information” section above:
The majority of the remaining Qubit SaaS ACV(6) will churn by the end of the fiscal year, with the revenue impact being that the SaaS Subscription Revenue(1) recognized in fiscal 2025 for subscriptions to the Qubit Platform will decline by approximately half.Bookings performance building during fiscal 2025, with the second half exceeding the first half.Maintaining gross retention rates(7) at their historical levels.Achieving expected levels of sales of SaaS subscriptions to new and existing customers, including timing of those sales, as well as expected levels of renewals of SaaS subscriptions with existing customers.Achieving expected levels of implementations and other sources of professional services revenue.Maintaining planned levels of operating margin represented by our Adjusted Gross Profit Measures(4) and Adjusted Gross Margin Measures(8).The market for our solutions showing ongoing improvements in customer buying behaviors.Our ability to attract and retain key personnel required to achieve our plans.Foreign exchange rates environment remaining consistent with average Q2 levels, and similar or better inflation rates, interest rates, customer spending, and other macro-economic conditions.Our ability to collect from our customers as planned, and to otherwise manage our cash inflows (including government grants and tax credits) and outflows as we currently expect.Expected financial performance as measured by our Adjusted Operating Expense Measures(4) and Adjusted Operating Expense (%) Measures(8).
Our financial outlook does not include the impact of acquisitions that may be announced or closed from time to time.
* * * * *
Notes to this press release:
(1)
SaaS Subscription Revenue and Net Expansion Rate are Key Performance Indicators of Coveo. Please see the “Key Performance Indicators” section below.
(2)
SaaS Subscription Revenue earned in connection with subscriptions by customers to the Coveo core Platform for the period, and thus excluding revenue from subscriptions to the Qubit Platform.
(3)
SaaS Subscription Revenue earned through subscriptions to the Qubit Platform for the period covered.
(4)
The Adjusted Gross Profit Measures, the Adjusted Operating Expense Measures, and Adjusted EBITDA are non-IFRS financial measures which may not be comparable to similar measures or ratios used by other companies. Please see the “Non-IFRS Measures and Ratios” section below and the reconciliation tables within this release.
(5)
Net Expansion Rate excluding the effect of SaaS ACV attributable to subscriptions to the Qubit Platform.
(6)
SaaS ACV means the SaaS annualized contract value of a customer’s commitments calculated based on the terms of that customer’s subscriptions, and represents the committed annualized subscription amount as of the measurement date.
(7)
Gross retention rate (“GRR”) is generally calculated for a period by subtracting SaaS ACV contractions and losses over the period selected from SaaS ACV at the beginning of the period selected and dividing the result by the SaaS ACV from the beginning of the period selected. We use GRR to provide insight into the company’s success in retaining existing customers.
(8)
The Adjusted Gross Margin Measures, the Adjusted Operating Expense (%) Measures, and Adjusted Product Gross Margin are non-IFRS ratios. Please see the “Non-IFRS Measures and Ratios” section below and the reconciliation tables within this release.
About Coveo
We strongly believe that the future is business-to-person. That experiences are today’s competitive front line, a make or break for every business. We also believe that remarkable experiences not only enhance user satisfaction but also yield significant gains for enterprises. That is what we call the AI-experience advantage – the degree to which the content, products, recommendations, and advice presented to a person online aligns easily with their needs, intent, preferences, context, and behavior, resulting in superior business outcomes.
To realize this AI-experience advantage at scale, enterprises require a robust, spinal and composable infrastructure capable of unifying content securely and delivering AI search, AI recommendations, true personalization, and a trusted generative experience at every touchpoint with each individual customer, partner and employee. Coveo is dedicated to bringing this advantage to every point-of-experience, using powerful data and AI models to transform the enterprise in commerce, customer service, website, and workplace.
The Coveo platform is ISO 27001 and ISO 27018 certified, SOC2 compliant, and HIPAA compatible, with a 99.999% SLA available. We are a Salesforce AppExchange Partner, an SAPⓇ Endorsed App, an Adobe Technology Gold Partner, a MACH Alliance member, and a Genesys AppFoundryⓇ ISV Partner.
Coveo is a trademark of Coveo Solutions Inc.
Stay up to date on the latest Coveo news and content by subscribing to the Coveo blog, and following Coveo on LinkedIn, Twitter, and YouTube.
Contact Information
James Bowen
Investor Relations
jbowen@coveo.com
Kiyomi Harrington
Director, PR, Social and Corporate Communications
kharrington@coveo.com
Condensed Interim Consolidated Statements of Loss and Comprehensive Loss
(expressed in thousands of U.S. dollars, except share and per share data, unaudited)
Three months ended
September 30,
Six months ended
September 30,
2024
2023
2024
2023
$
$
$
$
Revenue
SaaS subscription
31,174
29,406
61,731
57,941
Professional services
1,566
1,813
3,226
3,810
Total revenue
32,740
31,219
64,957
61,751
Cost of revenue
SaaS subscription
5,558
5,323
11,175
10,451
Professional services
1,275
1,484
2,629
3,028
Total cost of revenue
6,833
6,807
13,804
13,479
Gross profit
25,907
24,412
51,153
48,272
Operating expenses
Sales and marketing
14,072
13,898
28,599
27,358
Research and product development
8,648
8,700
19,045
17,882
General and administrative
6,233
6,814
12,896
13,623
Depreciation of property and equipment
628
595
1,375
1,172
Amortization and impairment of intangible assets
737
4,199
1,462
5,205
Depreciation of right-of-use assets
358
404
736
799
Total operating expenses
30,676
34,610
64,113
66,039
Operating loss
(4,769)
(10,198)
(12,960)
(17,767)
Net financial revenue
(1,262)
(1,630)
(2,988)
(3,307)
Foreign exchange loss (gain)
1,723
(1,260)
742
(256)
Loss before income tax expense (recovery)
(5,230)
(7,308)
(10,714)
(14,204)
Income tax expense (recovery)
147
(855)
767
(796)
Net loss
(5,377)
(6,453)
(11,481)
(13,408)
Net loss per share – Basic and diluted
(0.05)
(0.06)
(0.11)
(0.13)
Weighted average number of shares outstanding – Basic and diluted
98,409,854
102,807,185
100,665,293
104,223,916
Condenses Interim Consolidated Statements of Loss and Comprehensive Income Loss
(expressed in thousands of U.S. dollars, unaudited)
The following table presents share-based payments and related expenses recognized by the company:
Three months ended
September 31,
Six months ended
September 30,
2024
2023
2024
2023
$
$
$
$
Share-based payments and related expenses
SaaS subscription cost of revenue
222
230
360
466
Professional services cost of revenue
142
150
181
313
Sales and marketing
919
897
1,848
937
Research and product development
1,391
1,675
2,878
3,231
General and administrative
1,725
2,064
3,497
3,816
Share-based payments and related expenses
4,399
5,016
8,764
8,763
Reconciliation of Net Loss to Adjusted EBITDA
(expressed in thousands of U.S. dollars, unaudited)
Three months ended
September 30,
Six months ended
September 30,
2024
2023
2024
2023
$
$
$
$
Net loss
(5,377)
(6,453)
(11,481)
(13,408)
Net financial revenue
(1,262)
(1,630)
(2,988)
(3,307)
Foreign exchange loss (gain)
1,723
(1,260)
742
(256)
Income tax expense (recovery)
147
(855)
767
(796)
Share-based payments and related expenses(1)
4,399
5,016
8,764
8,763
Amortization and impairment of intangible assets
737
4,199
1,462
5,205
Depreciation expenses(2)
986
999
2,111
1,971
Transaction-related expenses(3)
114
–
388
Adjusted EBITDA
1,467
16
(235)
(1,828)
(1)
These expenses relate to issued stock options and share-based awards under our share-based plans to our employees and directors as well as related payroll taxes that are directly attributable to the share-based payments. These costs are included in product and professional services cost of revenue, sales and marketing, research and product development, and general and administrative expenses.
(2)
Depreciation expenses include depreciation of property and equipment and depreciation of right-of-use assets.
(3)
These expenses relate to professional, legal, consulting, accounting, advisory, and other fees relating to transactions that would otherwise not have been incurred. These costs are included in general and administrative expenses.
Reconciliation of Adjusted Gross Profit Measures and Adjusted Gross Margin Measures
(expressed in thousands of U.S. dollars, unaudited)
Three months ended
September 30,
Six months ended
September 30,
2024
2024
2024
2023
$
$
$
$
Total revenue
32,740
31,219
64,957
61,751
Gross profit
25,907
24,412
51,153
48,272
Gross margin
79 %
78 %
79 %
78 %
Add: Share-based payments and related expenses
364
380
541
779
Adjusted Gross Profit
26,271
24,792
51,694
49,051
Adjusted Gross Margin
80 %
79 %
80 %
79 %
Product revenue
31,174
29,406
61,731
57,941
Product cost of revenue
5,558
5,323
11,175
10,451
Product gross profit
25,616
24,083
50,556
47,490
Product gross margin
82 %
82 %
82 %
82 %
Add: Share-based payments and related expenses
222
230
360
466
Adjusted Product Gross Profit
25,838
24,313
50,916
47,956
Adjusted Product Gross Margin
83 %
83 %
82 %
83 %
Professional services revenue
1,566
1,813
3,226
3,810
Professional services cost of revenue
1,275
1,484
2,629
3,028
Professional services gross profit
291
329
597
782
Professional services gross margin
19 %
18 %
19 %
21 %
Add: Share-based payments and related expenses
142
150
181
313
Adjusted Professional Services Gross Profit
433
479
778
1,095
Adjusted Professional Services Gross Margin
28 %
26 %
24 %
29 %
Reconciliation of Adjusted Operating Expense Measures and Adjusted Operating Expense (%) Measures
(expressed in thousands of U.S. dollars, unaudited)
Three months ended
September 30,
Six months ended
September 30,
2024
2023
2024
2023
$
$
$
$
Sales and marketing expenses
14,072
13,898
28,599
27,358
Sales and marketing expenses (% of total revenue)
43 %
45 %
44 %
44 %
Less: Share-based payments and related expenses
919
897
1,848
937
Adjusted Sales and Marketing Expenses
13,153
13,001
26,751
26,421
Adjusted Sales and Marketing Expenses (% of total revenue)
40 %
42 %
41 %
43 %
Research and product development expenses
8,648
8,700
19,045
17,882
Research and product development expenses (% of total revenue)
26 %
28 %
29 %
29 %
Less: Share-based payments and related expenses
1,391
1,675
2,878
3,231
Adjusted Research and Product Development Expenses
7,257
7,025
16,167
14,651
Adjusted Research & Product Development Expenses (% of total revenue)
22 %
23 %
25 %
24 %
General and administrative expenses
6,233
6,814
12,896
13,623
General and administrative expenses (% of total revenue)
19 %
22 %
20 %
22 %
Less: Share-based payments and related expenses
1,725
2,064
3,497
3,816
Less: Transaction-related expenses
114
–
388
–
Adjusted General and Administrative Expenses
4,394
4,750
9,011
9,807
Adjusted General and Administrative Expenses (% of total revenue)
13 %
15 %
14 %
16 %
Condensed Interim Consolidated Statements of Financial Position
(expressed in thousands of U.S. dollars, unaudited)
September 30,
2024
March 31,
2024
$
$
Assets
Current assets
Cash and cash equivalents
128,162
166,586
Trade and other receivables
27,312
29,947
Government assistance
7,089
9,987
Prepaid expenses
9,626
8,622
172,189
215,142
Non-current assets
Contract acquisition costs
9,904
10,168
Property and equipment
4,845
5,608
Intangible assets
7,627
8,710
Right-of-use assets
5,219
6,032
Deferred tax assets
3,002
4,265
Goodwill
26,911
25,960
Total assets
229,697
275,885
Liabilities
Current liabilities
Trade payable and accrued liabilities
20,592
21,822
Deferred revenue
63,228
64,731
Current portion of lease obligations
2,082
2,153
Accrued liability for shares to be repurchased under automatic
securities purchase plan
5,179
–
91,081
88,706
Non-current liabilities
Lease obligations
5,850
6,885
Deferred tax liabilities
1,554
1,771
Total liabilities
98,485
97,362
Shareholders’ Equity
Share capital
777,340
836,271
Contributed surplus
67,074
40,484
Deficit
(672,370)
(655,598)
Accumulated other comprehensive loss
(40,832)
(42,634)
Total shareholders’ equity
131,212
178,523
Total liabilities and shareholders’ equity
229,697
275,885
Condensed Interim Consolidated Statements of Cash Flows
(expressed in thousands of U.S. dollars, unaudited)
Six months ended September 30,
2024
2023
$
$
Cash flows from operating activities
Net loss
(11,481)
(13,408)
Items not affecting cash
Amortization of contract acquisition costs
2,147
2,248
Depreciation of property and equipment
1,375
1,172
Amortization and impairment of intangible assets
1,462
5,205
Depreciation of right-of-use assets
736
799
Share-based payments
9,477
7,800
Interest on lease obligations
224
279
Deferred income tax expense (recovery)
778
(765)
Unrealized foreign exchange loss (gain)
646
(316)
Changes in non-cash working capital items
(910)
(1,179)
4,454
1,835
Cash flows used in investing activities
Additions to property and equipment
(554)
(626)
Additions to intangible assets
(9)
(21)
(563)
(647)
Cash flows used in financing activities
Proceeds from exercise of stock options
978
980
Tax withholding for net share settlement
(1,490)
(1,011)
Payments on lease obligations
(1,256)
(1,198)
Shares repurchased and cancelled
(40,588)
(26,353)
Repurchase of stock options
–
(4,553)
(42,356)
(32,135)
Effect of foreign exchange rate changes on cash and cash equivalents
41
309
Decrease in cash and cash equivalents during the period
(38,424)
(30,638)
Cash and cash equivalents – beginning of period
166,586
198,452
Cash and cash equivalents – end of period
128,162
167,814
Cash
22,888
25,275
Cash equivalents
105,274
142,539
View original content to download multimedia:https://www.prnewswire.com/news-releases/coveo-reports-second-quarter-fiscal-2025-financial-results-302295795.html
SOURCE Coveo Solutions Inc.
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Technology
Green Cubes Technology Unveils Revolutionary Swappable Power Platform for Mobile Workstations
Published
10 mins agoon
November 7, 2024By
Innovative Swappable Power Platform is designed for mobile medical and industrial workstations
KOKOMO, Ind., Nov. 6, 2024 /PRNewswire-PRWeb/ — Green Cubes Technology, a leader in providing cutting-edge power solutions, today announced the launch of its innovative Swappable Power Platform designed for mobile medical and industrial workstations. This breakthrough AC platform aims to streamline the power system design process for manufacturers, providing a cost-effective and time-saving solution for powering mobile workstations.
The Green Cubes swappable battery platform is configurable and can be easily integrated into a comprehensive platform to provide the power required,” said Joe Richards, Senior Vice President of Product Development at Green Cubes, “making the conversion to power as simple as design in and go.”
The Swappable Power Platform is a complete pre-engineered energy storage solution that includes three essential components:
1. Battery Assembly:
Utilizes LiFePO4 technologyOffers 290Whr at 19.2 volts nominalDelivers a continuous power output of up to 300WCompliant with IEC 62133 standards
2. Cart Power Module:
Supports one or two batteries with 300 Watt continuous power outputAvailable models with 120VAC @ 60 Hz and 230VAC @ 50 Hz outputFeatures universal input from 100VAC to 230VAC @ 50Hz to 60 HzIncludes 2 minutes of integrated battery backup for hot swap operationCharges both internal integrated and external swap batteriesMeets IEC 60601 standardsOptional remote LCD display available
3. Charger:
Capable of charging two or four batteries simultaneouslyUniversal input from 100VAC to 230VAC @ 50Hz to 60 HzCompliant with IEC 60601 standardsOptional remote LCD display available
“Designed with the OEM in mind, the Green Cubes swappable battery platform is configurable and can be easily integrated into a comprehensive platform to provide the power required,” said Joe Richards, Senior Vice President of Product Development at Green Cubes. “This makes the conversion to power as simple as design in and go.”
Exceeding the highest performance for equipment manufacturers, the Green Cubes swappable battery platform offers a highly accurate state-of-charge display with a five-stage LED indicator. Its advanced technology, featuring cell balancing, ensures maximum cycle life and runtime.
About Green Cubes Technology
Green Cubes Technology develops and manufactures safe and reliable electrification solutions that enable its OEM and enterprise customers to transition from Lead Acid and Internal Combustion Engine (ICE) power to Lithium-ion battery power. Green Cubes utilizes proven hardware and software platforms to build the most reliable Lithium power solutions in its industries. With over 300 employees across six countries, Green Cubes has been producing innovative, high-performance and high-quality power solutions since 1986. For more information about Green Cubes Technology and its innovative power solutions, please visit http://www.greencubes.com.
Media Contact
Hayley Luz, Green Cubes Technology, 425-918-2742, hluz@greencubes.com, www.greencubes.com
View original content to download multimedia:https://www.prweb.com/releases/green-cubes-technology-unveils-revolutionary-swappable-power-platform-for-mobile-workstations-302298109.html
SOURCE Green Cubes Technology
Technology
Big wins await retailers that focus on the first and final hours of seasonal sales
Published
10 mins agoon
November 7, 2024By
Criteo research finds that online sales in the opening and closing hours of Singles Day capture over 300% increase in transaction volume across Southeast Asia
SINGAPORE, Nov. 7, 2024 /PRNewswire/ — Criteo (NASDAQ: CRTO), the commerce media company, today unveiled key insights from the 2023 Singles’ Day sales across Southeast Asia (SEA) and Greater China.
Singles’ Day (11/11) presents an enormous opportunity for retailers in these regions to connect with consumers at crucial decision-making moments, build brand loyalty and stand out from the competition. In 2023, online retail transactions in SEA surged 140% compared to the first week of October, and the average basket size increased by 16% compared to the same baseline. In Greater China, online retail transactions grew 237% while the average basket size saw a 6% uptick.
“As the year-end sales season draws near, it’s timely to glean past insights to better seize the opportunities that lie ahead,” said Taranjeet Singh, Managing Director, Venture Markets, APAC at Criteo. “One thing is clear: such e-commerce events hold tremendous potential and impact for brands and retailers to capitalise on the moment. In providing these datasets, we hope to empower our brand and retail partners to maximise sales opportunities and enhance customer experiences as Singles’ Day draws around once more.”
Key findings:
1. Singles’ Day is the largest seasonal sales opportunity for retailers
Across the board, all sales metrics perform higher on Singles’ Day – be it online retail transactions, unit sales, and average basket sizes. This marks consumers’ willingness to spend during this period, which is widely known for its festive deals, loyalty promotions, and immersive e-commerce experiences.
In Southeast Asia:
Online retail transactions surged by 140% compared to the first week of October 2023.In comparison, sales on Black Friday 2023 increased 101% from the first four weeks of October 2023.Unit sales, which denotes the number of individual items sold, skyrocketed by 178%, compared to 139% in 2022.During Cyber 6 (Black Friday to Cyber Wednesday 2023), sales increased 4% compared to the same period in 2022.The average basket size, which indicates the quantity of products purchased per transaction, also saw a notable uptick of 16%, compared to the first week of October 2023.The top-performing product categories, based on indexed transactions from the first week of October 2023, comprise Baby & Toddler (+407%), Health & Beauty (+352%) and Furniture (+277%).
In Greater China:
Online retail transactions surged by 237% compared to the first week of October.In comparison, sales on Black Friday 2023 rose 58% from the first four weeks of October 2023.Unit sales saw a 257% increase, compared to 248% in 2022.Sales during Cyber 6 (Black Friday to Cyber Wednesday 2023) increase 2% compared to the same period in 2022.The average basket size saw an uptick of 6%, compared to the first week of October.The top-performing product categories, based on indexed transactions from the first week of October 2023, comprise: Health & Beauty (417%), Home & Garden (326%), Luggage & Bags (311%) and Toys & Games (311%).Online transactions saw a 9% Year-on-Year growth on Singles’ Day.Interestingly, average order values showed an increase of 14%, with the average unit price going up by 7%.
2. Shoppers are prepared to spend the most during the first and last hours of Singles’ Day
Shopper activity tends to spike in the first (12AM – 1AM) and last hours (11PM – 12AM) of the day. Early bird shoppers are a segment of shoppers who tend to prepare their shopping baskets ahead of time in anticipation of discounts and offers. These early bird shoppers represent a crucial segment for brands to capitalise on by offering flash discounts or loyalty promotions. Meanwhile, last-minute shoppers tend to seize deals available at the day’s final hours – marking a final opportunity to convert buyers who hold out until the very end for a good deal. Savvy retailers that take note of this pattern will leverage their retail media platforms to drive and serve ads in the lead-up to and prior to the closing of these sales events.
The first hour of Singles’ Day (12AM – 1AM) sees the greatest spike in SEA online transactions (+325%) and unit sales (+370%), compared to baseline sales at the start of October.This trend is reversed in Greater China, with online transactions (+345%) and unit sales (363%) spiking in the final hour of Singles’ Day (11PM – 12AM).
3. ‘Tis the season to convert new buyers: conversion rates are exceptionally high during Singles’ Day
In the past few years, Singles’ Day has consistently recorded substantial spikes in new purchases by new buyers. While the number of new buyers fell in 2023, there is still a clear opportunity to convert new customers and establish lasting customer relationships during this period. Retailers who can build on this momentum of first-time buyers during Singles’ Day will also see the chance to ensure continued patronage as the holiday season progresses.
Singles’ Day 2023 saw a whopping 63% increase in new shoppers in SEA compared to the month of October.
Taking action:
Sales events such as Singles’ Day are becoming more important for consumers today and represent a growing opportunity for retailers and brands. To realise the true potential of such events, retailers and brands should follow these key learnings for sales season:
1. Starting Early Matters: with sales events recording much higher-than-average transaction figures, ensuring the relevant media collateral and sales logistics are ready in advance will be helpful to signpost and facilitate consumer purchases. Shoppers tend to plan their purchases in advance, and 47% of consumers globally[1] tend to start their search at retailers rather than search engines, when they know the general type of item they want to buy. As retail media continues to grow with new formats such as offsite and in-store, using retail media allows brands and retailers to engage shoppers further up the funnel, to aid product discovery and boost brand awareness. Kicking off new campaigns early also ensures campaigns are optimised as shoppers start researching. Brands can also gain a sales boost by expanding their retailer sets to small or medium-size retailers.
2. Go Full-Funnel: Retail media can help drive positive outcomes during sales events and build lasting customer relationships. Layering sponsored products and offsite campaigns push the needle in capturing new and returning customers during such events and keeping the brand or retail platform top of mind. Keeping in mind that shoppers tend to view several brands before deciding, these tactics also build brand appeal and create a strong impression with shoppers in each stage of their shopping journey.
3. Be Diligent with Speed: There is increased shopper activity in the first and final hours of these sales events. Savvy retailers and brands drive additional sales by leveraging the data to plan budget accordingly and positioning key advertisements in front of these shoppers in those critical moments.
Methodology
Criteo captures organic data from 20 countries, 600 product categories and over 19,000 advertiser clients. Indexed sales are monitored on retailers who partner with Criteo Marketing Solutions and Criteo Retail Media. Criteo data includes only product categories represented by at least 5 retailers at the most granular level. Organic data means that all events from our clients, including those not attributed to Criteo, are leveraged. This allows us to produce insights regarding the market rather than Criteo campaigns.
About Criteo
Criteo (NASDAQ: CRTO) is the global commerce media company that enables marketers and media owners to drive better commerce outcomes. Its industry leading Commerce Media Platform connects thousands of marketers and media owners to deliver richer consumer experiences from product discovery to purchase. By powering trusted and impactful advertising, Criteo supports an open internet that encourages discovery, innovation, and choice. For more information, please visit www.criteo.com.
[1] Criteo shopper survey, Q3 2024, Global (N=7120)
Criteo 2023 Holiday Shopping Season Country-Specific Findings
In Singapore:
Singles’ Day remains the largest seasonal sales opportunity for retailers in Singapore, with online sales skyrocketing +159% on 11/11 compared to the first four weeks of October.In comparison, sales on Black Friday 2023 surged 104%, compared to the first four weeks of October 2023.
In Indonesia
Singles’ Day remains the largest seasonal sales opportunity for retailers in Indonesia, with online sales skyrocketing +194% on 11/11 compared to the first four weeks of October.In comparison, sales on Black Friday 2023 surged 56%, compared to the first four weeks of October 2023.
View original content:https://www.prnewswire.com/apac/news-releases/big-wins-await-retailers-that-focus-on-the-first-and-final-hours-of-seasonal-sales-302298185.html
SOURCE Criteo
Technology
CapBridge is an Authorised Distribution Partner of UBS’s First Tokenised Money Market Fund, uMINT
Published
10 mins agoon
November 7, 2024By
SINGAPORE, Nov. 7, 2024 /PRNewswire/ — On November 1st, UBS Asset Management announced the launch of its first tokenised investment, UBS USD Money Market Investment Fund Token (uMINT). CapBridge, a digital investment platform and a member of FOMO Group, has been selected as an authorised distribution partner of uMINT, offering this innovative investment product to its corporate and institutional clients.
Built on the Ethereum blockchain, the launch of uMINT forms part of the broader expansion of UBS’s tokenisation services through UBS Tokenize. Tokenholders can now access UBS Asset Management’s institutional grade cash management solutions underpinned by high quality money market instruments based on a conservative, risk-managed framework. UBS’s tokenisation services seek to address growing investor demand for tokenised financial assets across asset classes.
Johnson Chen, Founder and CEO of CapBridge, said, “At CapBridge, we are always committed to bridging the gap between digital and traditional assets. The launch of UBS’s first tokenised money market fund highlights the synergy between traditional banking and digital asset innovation. CapBridge is delighted to be an authorised distribution partner of uMINT, contributing to the greater mission of making digital finance products more accessible to a wider range of investors and moving towards the seamless integration of traditional and digital finance.”
Earlier in May this year, CapBridge was also selected to be the international partner for Hong Kong’s virtual asset ETFs, namely spot virtual asset ETF products issued by Bosera Asset Management, China Asset Management, and Harvest Global Investment listed on the Hong Kong Stock Exchange.
Looking ahead, CapBridge remains dedicated to serving as a one-stop platform for investors looking to invest in both traditional and digital asset funds.
About CapBridge
CapBridge, a member of FOMO Group, is a leading digital investment platform headquartered in Singapore. As a Capital Markets Services licensee, CapBridge is regulated by the Monetary Authority of Singapore (MAS) to deal in capital markets products, including securities and collective investment schemes, and to provide custodial services. It is also an exempt financial adviser licensed to issue or promulgate analyses and reports on investment products.
CapBridge enables HNWIs and institutional clients to invest in traditional and digital assets via its one-stop digital investment platform, providing highly curated, top-quality, and institutional-grade opportunities to meet clients’ diverse asset allocation needs. Through CapBridge’s associated company, FOMO Pay Pte Ltd, a regulated MAS Payment Services Act (PSA) Digital Payment Token (DPT) entity, qualified clients can also invest into CapBridge curated products using DPTs, providing a seamless bridge between Traditional Finance (TradFi) and Web3 Finance.
For more information, please visit www.capbridge.sg. For media inquiries, please contact media@capbridge.sg.
View original content to download multimedia:https://www.prnewswire.com/apac/news-releases/capbridge-is-an-authorised-distribution-partner-of-ubss-first-tokenised-money-market-fund-umint-302297594.html
SOURCE Capbridge
Green Cubes Technology Unveils Revolutionary Swappable Power Platform for Mobile Workstations
Big wins await retailers that focus on the first and final hours of seasonal sales
CapBridge is an Authorised Distribution Partner of UBS’s First Tokenised Money Market Fund, uMINT
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