Stock Story -
Critical event management software company Everbridge (NASDAQ:EVBG) reported results ahead of analysts' expectations in Q4 FY2023, with revenue down 1.2% year on year to $115.8 million. It made a non-GAAP profit of $0.47 per share, improving from its profit of $0.39 per share in the same quarter last year.
Is now the time to buy Everbridge? Find out by reading the original article on StockStory.
Everbridge (EVBG) Q4 FY2023 Highlights:
- Revenue: $115.8 million vs analyst estimates of $114.6 million (1% beat)
- EPS (non-GAAP): $0.47 vs analyst expectations of $0.49 (4.5% miss)
- Free Cash Flow of $24.69 million, up 59.3% from the previous quarter
- Gross Margin (GAAP): 71.2%, in line with the same quarter last year
- Market Capitalization: $1.17 billion
- Everbridge has agreed in to be taken private by Thoma Bravo for $28.60 a share in cash ($1.5B in total).
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Sales GrowthAs you can see below, Everbridge's revenue growth has been unremarkable over the last two years, growing from $102.8 million in Q4 FY2021 to $115.8 million this quarter.
This quarter, Everbridge's revenue was down 1.2% year on year, which might disappointment some shareholders.
Cash Is KingIf you've followed StockStory for a while, you know that we emphasize free cash flow. Why, you ask? We believe that in the end, cash is king, and you can't use accounting profits to pay the bills. Everbridge's free cash flow came in at $24.69 million in Q4, up 440% year on year.
Everbridge has generated $61.77 million in free cash flow over the last 12 months, a decent 13.8% of revenue. This FCF margin stems from its asset-lite business model and gives it a decent amount of cash to reinvest in its business.
Key Takeaways from Everbridge's Q4 Results Overall, we think this was a decent quarter. The stock is flat after reporting, as the price is now determined by the likelihood of the take private deal going through rather than fundamentals or market sentiment and currently trades at $28.33 per share.
