Financial Data and Key Metrics Changes - Alkami reported total revenue of $82.2 million for Q2 2024, representing a year-over-year growth of 25% [17] - Subscription revenue grew by 28%, accounting for approximately 95% of total revenue [17] - Adjusted EBITDA for the quarter was $4.6 million, exceeding expectations and marking the fourth consecutive quarter of positive adjusted EBITDA [22] - The company ended the quarter with an annual recurring revenue (ARR) of $321.3 million, a 25% increase year-over-year [17] Business Line Data and Key Metrics Changes - Alkami signed 10 new clients in Q2, bringing the total digital platform client count to 254 [18] - The company has 39 clients in its implementation backlog, representing 1.6 million digital users [18] - Registered users on the digital banking platform increased by 2.7 million or 17% year-over-year, reaching 18.6 million [18] Market Data and Key Metrics Changes - The sales pipeline remains strong, with almost half of the opportunities in the bank market [10] - Digital user growth among U.S. financial institutions averages 5% to 8% annually, contributing to Alkami's total addressable market (TAM) [10] - The company noted that millennials are increasingly diversifying their financial provider relationships, which presents opportunities for growth [11] Company Strategy and Development Direction - Alkami aims to achieve 50% of new client wins from banks by 2026, complementing its existing success in the credit union market [28] - The company is focusing on enhancing its product offerings, particularly in data insights, marketing, fraud protection, and financial wellness [19] - Alkami is investing in operational improvements and platform scalability, with significant progress in converting microservices to Linux and deploying to Kubernetes [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving 2026 targets, citing strong market demand and operational improvements [16] - The company anticipates continued growth in digital banking, driven by demographic trends and the ongoing digital transformation in financial services [10] - Management highlighted the importance of user experience in client acquisition and retention, especially in the competitive digital banking landscape [8] Other Important Information - Alkami's non-GAAP gross margin for Q2 2024 was 63.2%, reflecting a 450 basis point expansion year-over-year [20] - The company has approximately $87 million in cash and marketable securities and recently amended its credit facility to expand its revolver [23] - Alkami's remaining purchase obligation crossed over $1.2 billion, representing just under 4x its ARR [20] Q&A Session Summary Question: Key drivers for Alkami's next phase of growth - Management emphasized underlying seat growth and demographic changes as key demand drivers for future growth [27][28] Question: Progress on leveraging APIs - Management discussed efforts to redesign APIs to enhance customer access and integration capabilities, aiming for an API-first platform [31] Question: Areas of traction in add-on sales - Significant progress was noted in data insights and marketing, fraud protection, and customer service, with strong adoption rates among existing clients [34] Question: Expectations for user growth and ARPU - Management confirmed that 5% to 7% of revenue growth will come from ARPU expansion, with the remainder from user growth [39] Question: Insights on millennials' financial provider relationships - Management highlighted the opportunity to capture millennial clients who prioritize digital experiences and are diversifying their financial relationships [43] Question: M&A strategy and parameters - Alkami's M&A strategy focuses on enhancing product offerings that align with customer needs and maintaining financial health [44][46] Question: Implementation backlog and client mix - Management indicated that the client mix remains stable, with no significant changes expected in the near term [50] Question: Gross margin outlook - Management expects gross margin to remain around 63% for the remainder of the year, with continued improvements anticipated [73][76]

Alkami Technology Second Quarter 2024 Alkami Technology, Inc. Proprietary Information. © Alkami Technology, Inc. Cautionary Statement Regarding Forward-Looking Statements This presentation contains "forward-looking" statements relating to Alkami Technology, Inc.'s strategy, goals, future focus areas, and expected, possible or assumed future results, including its future cash flows and its financial outlook. These forward-looking statements are based on management's beliefs and assumptions and on information ...

Alkami Technology (ALKT) came out with quarterly earnings of $0.04 per share, beating the Zacks Consensus Estimate of $0.02 per share. This compares to loss of $0.03 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 100%. A quarter ago, it was expected that this provider of digital banking services would post earnings of $0.02 per share when it actually produced earnings of $0.04, delivering a surprise of 100%.Over the last four ...

Exhibit 99.1 Alkami Announces Second Quarter 2024 Financial Results PLANO, Texas, July 31, 2024 (PRNewswire) -- Alkami Technology, Inc. (Nasdaq: ALKT) ("Alkami"), a leading cloud-based digital banking solutions provider for financial institutions in the U.S., today announced results for its first quarter ending June 30, 2024. Second Quarter 2024 Financial Highlights • GAAP total revenue of $82.2 million, an increase of 24.9% compared to the year-ago quarter; • GAAP gross margin of 59.4%, compared to 53.9% i ...

PLANO, Texas, July 31, 2024 /PRNewswire/ -- Alkami Technology, Inc. (Nasdaq: ALKT) ("Alkami"), a leading cloud-based digital banking solutions provider for financial institutions in the U.S., today announced results for its first quarter ending June 30, 2024.Second Quarter 2024 Financial HighlightsGAAP total revenue of $82.2 million, an increase of 24.9% compared to the year-ago quarter;GAAP gross margin of 59.4%, compared to 53.9% in the year-ago quarter;Non-GAAP gross margin of 63.2%, compared to 58.7% in ...

Group 1 - Alkami Technology, Inc. plans to report its financial results for the second quarter ended June 30, 2024, on July 31, 2024, after market close [1] - A conference call will be held at 5:00 p.m. ET on the same day to discuss the financial results with investors [1] - A live webcast of the conference call will be available on the Alkami investor relations website, along with dial-in options for domestic and international participants [1] Group 2 - Alkami is a leading cloud-based digital banking solutions provider for financial institutions in the United States [2] - The company enables clients to grow confidently, adapt quickly, and build thriving digital communities through various banking and marketing solutions [2] - Alkami's services include retail and commercial banking, digital account opening, and data and marketing solutions [2]

Distinction places Alkami in the top quintile of all companies assessed by J.D. Power mobile experience benchmarkPLANO, Texas, July 15, 2024 /PRNewswire/ -- Alkami Technology, Inc. (Nasdaq: ALKT) ("Alkami"), a leading cloud-based digital banking solutions provider for financial institutions in the U.S., announced today that Alkami's Mobile Banking Platform is certified by J.D. Power for providing clients with "An Outstanding Mobile Banking Platform Experience."Alkami is the first digital banking solutions p ...

Credit union continues to bolster its members' digital banking experiencePLANO, Texas, July 2, 2024 /PRNewswire/ -- Alkami Technology, Inc. (Nasdaq: ALKT) ("Alkami"), a leading cloud-based digital banking solutions provider for financial institutions in the U.S., today announced that Mountain America Credit Union (MACU), a top credit union based in Utah, has extended its partnership with Alkami for five more years continuing to leverage the TechFin's digital banking platform and Data & Marketing Solutions.S ...

Core Insights - The 2024 Alkami Telemetry Data Report reveals significant impacts of the high interest rate environment on U.S. consumers and financial institutions, with over two-thirds of Americans reporting a decline in their standard of living [1][2]. Consumer Trends - 67% of digital banking Americans indicate that rising interest rates have significantly affected their standard of living, and 59% are living paycheck to paycheck [2]. - Mortgage originations have decreased sharply, with a 72.5% decline in December 2023 compared to December 2020, while mortgage loan principal has increased by 42% during the same period [2]. - The average drawn balance on Home Equity Lines of Credit (HELOCs) rose by 31.7% from December 2021 to December 2023 [2]. - New car buyers in December 2023 are paying $323 more per month for auto loans, a 57.1% increase compared to December 2019 [2]. - The number of Certificate of Deposit (CD) openings in Q1 2023 was 10.8 times higher than in Q4 2021, with 87.7% of CD balances maturing by the end of 2024 [2]. - Average credit card payments have risen to $2,376 in 2023, marking a 19% increase over pre-pandemic levels [2]. - There were 5.17 times more Buy Now Pay Later (BNPL) users in 2023 compared to 2019 [2]. Implications for Financial Institutions - The report highlights trends in consumer deposits and credit products, emphasizing the need for regional and community banks and credit unions to adapt to changing consumer behaviors [2]. - Financial institutions can leverage Alkami's tools, such as the Digital Sales & Service Maturity Model Assessment, to enhance customer loyalty and improve digital banking experiences [3].

Video campaign demonstrates the role financial institutions play in account holders' financial journeys PLANO, Texas, June 12, 2024 /PRNewswire/ -- Alkami Technology, Inc. (Nasdaq: ALKT) ("Alkami"), a leading cloud-based digital banking solutions provider for financial institutions in the U.S., announced it's releasing a video campaign highlighting the importance of community financial institutions in the daily lives of their account holders and members. The campaign was developed in partnership with Northw ...