BILL beats Q2 revenue estimates

Overview

• Finance platform's Q2 total revenue rose 14% yr/yr, beating analysts' expectations

• Adjusted net income beat analysts' expectations

• Company repurchased 2.5 mln shares for $133 mln in Q2

Outlook

• Company projects Q3 total revenue between $397.5 mln and $407.5 mln

• BILL expects FY26 total revenue between $1,631.0 mln and $1,651.0 mln

• Company anticipates FY26 non-GAAP net income per diluted share of $2.33 - $2.41

Result Drivers

• AI AND INNOVATION - Co leveraged AI to streamline workflows and enhance B2B transactions, contributing to revenue growth

• CORE REVENUE GROWTH - Core revenue rose 17% yr/yr, driven by subscription and transaction fees

• MARGIN IMPROVEMENT - Non-GAAP operating income rose 18% yr/yr, indicating improved operational efficiency

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 15 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy"

• Wall Street's median 12-month price target for BILL Holdings Inc is $60.00, about 61.2% above its February 4 closing price of $37.23

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release: ID:nBw1FhXFsa

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