SEMR Earnings Prediction
The chart below shows how SEMR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SEMR sees a +1.35% change in stock price 10 days leading up to the earnings, and a -7.22% change 10 days following the report. On the earnings day itself, the stock moves by +0.82%. This data can give you a slight idea of what to expect for the next quarter's release.
SEMR Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
97.41M
23.75%
7.10%
Gross Margin
82.48%
-1.15%
-1.28%
Operating Margin
3.18%
-8.88%
-29.96%
Net Margin
0.74%
-86.17%
-50.67%
EPS
0.01
-66.67%
0.00%
No Data Available
SEMR Earnings Analysis
SEMrush Holdings, Inc. Corporation (SEMR.N) Earnings Conference Call
Positive
Revenue Surge: 1. Strong Revenue Growth: Semrush reported revenue of $97.4 million for Q3 2024, reflecting a 24% year-over-year increase.
Operating Margin Improvement: 2. Improved Operating Margin: The non-GAAP operating margin increased to 12.4%, up from 9.5% in the prior year, demonstrating enhanced profitability.
Customer Base Expansion: 3. Significant Customer Base Expansion: The company added approximately 1,300 net new paying customers in Q3, contributing to a total of over 401 million in annual recurring revenue, which grew 24% year-over-year.
Average Revenue Growth: 4. Increased Average Revenue per Customer: The calculated average annual recurring revenue (ARR) per paying customer exceeded $3,400, marking a 13% year-over-year increase.
Increased Revenue Guidance: 5. Raising Full Year Guidance: Semrush raised its full year 2024 revenue guidance to a range of $375 million to $376 million, indicating continued confidence in growth prospects.
Negative
Customer Growth Challenges: 1. Stagnant Customer Growth: Despite adding approximately 1,300 net new paying customers in Q3, the growth rate has slowed, indicating potential challenges in attracting new clients.
Net Revenue Retention Stability: 2. Flat Net Revenue Retention: The net revenue retention rate remained flat at 107%, suggesting that while existing customers are retained, there is limited expansion within the current customer base.
Enterprise Competition Challenges: 3. Increased Competition in Enterprise Segment: The company faces significant competition in the enterprise segment, which could hinder growth as they attempt to penetrate the existing 8,000 enterprise accounts more deeply.
Average Revenue Growth Challenges: 4. Limited Growth in Average Revenue per Customer: The average ARR per paying customer grew only 13% year-over-year, indicating potential pricing pressures or market saturation in certain segments.
Cash Flow Management Issues: 5. Cash Flow Constraints: Cash flow from operations was $8.1 million, which, while positive, was offset by a $9 million cash outflow for acquisitions, raising concerns about cash management and future investment capabilities.
SEMR FAQs
How does SEMR typically perform around its earnings report dates?
Is Semrush Holdings, Inc. (SEMR) Q3 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
SEMR Earning Call Sentiment
Semrush Holdings, Inc. (SEMR) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
SEMR.N
-4.85%Positive
The earnings call summary presents strong financial performance with 24% revenue growth and raised guidance. The non-GAAP operating margin improved, and ARR increased significantly. The Q&A section highlights positive market interest and adoption of new products, though some management responses lacked specificity. Competitive pressures and regulatory issues pose risks, but the absence of a share repurchase program has a neutral impact. Considering the company's market cap, the stock price is likely to experience a positive movement (2% to 8%) over the next two weeks.
