Alkami(ALKT)

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Alkami Announces First Quarter 2025 Financial Results
Prnewswire· 2025-04-30 20:05
Core Insights - Alkami Technology, Inc. reported strong financial performance for Q1 2025, with revenue growth of 28.5% year-over-year and an Adjusted EBITDA of $12.1 million [2][9] - The company has expanded its user base to 20.5 million, an increase of 2.3 million from the previous year, and continues to gain market share in the digital banking sector [2][29] - Alkami's acquisition of MANTL is expected to enhance revenue growth and gross margin, contributing approximately $31.4 million in revenue for the full year 2025 [5][10] Financial Performance - Total revenue for Q1 2025 was $97.8 million, up from $76.1 million in Q1 2024, reflecting a 28.5% increase [9][26] - The company reported a GAAP net loss of $7.8 million, an improvement from a loss of $11.4 million in the same quarter last year [9][26] - Annual recurring revenue (ARR) reached $404 million, representing a 33% increase year-over-year, with revenue per registered user at $19.74, up 18% [2][29] Strategic Developments - Alkami's CEO highlighted ongoing efforts to enhance market presence, improve add-on sales, and invest in platform capabilities, particularly through the recent acquisition of MANTL [2][5] - The company is actively searching for a successor for its retiring CFO, Bryan Hill, who has been instrumental in the company's growth and financial strategy since 2019 [3][4] - The acquisition of MANTL is anticipated to be accretive to Alkami's overall revenue growth and gross margin expansion, with expectations for a positive impact on Adjusted EBITDA by 2026 [5][10] Market Position - Alkami continues to position itself as a leading provider of cloud-based digital banking solutions for financial institutions in the U.S., focusing on transforming retail and business banking [7] - The company aims to maintain its competitive edge by expanding its digital banking platform and enhancing customer engagement through innovative solutions [7][20]
NuMark Credit Union Selects Alkami to Power Its Digital Banking Platform
Prnewswire· 2025-04-24 14:00
Core Insights - NuMark Credit Union has partnered with Alkami Technology to enhance its digital banking experience for retail and business members, emphasizing a commitment to innovation and user-centric solutions [1][3]. Group 1: Partnership and Technology - The collaboration will utilize Alkami's Digital Banking Platform, which includes rich online banking and ACH capabilities, aimed at providing an intuitive and streamlined interface for NuMark's members [2][4]. - Alkami's Data & Marketing Solutions will enable NuMark to leverage advanced data analytics and personalization tools, allowing for tailored financial solutions and timely insights for members [2][4]. Group 2: Strategic Goals - NuMark's mission is to enrich the financial lives of its members by delivering seamless and personalized banking experiences, which is supported by the innovative technology from Alkami [3][5]. - The partnership is expected to enhance member engagement, support financial wellness, and expand business banking capabilities, ultimately benefiting the communities served by NuMark [3][5]. Group 3: Industry Recognition - Alkami has received certification from J.D. Power in 2024 and 2025 for providing an outstanding mobile banking platform experience, highlighting its commitment to quality in digital banking solutions [6].
Alkami to Announce First Quarter 2025 Financial Results
Prnewswire· 2025-04-17 12:00
Core Viewpoint - Alkami Technology, Inc. is set to report its financial results for the first quarter ending March 31, 2025, on April 30, 2025, after market close [1] Group 1: Financial Reporting - The financial results announcement will be followed by a conference call at 5:00 p.m. ET on the same day to discuss the results with investors [2] - 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 [2] Group 2: Company Overview - Alkami is recognized as a leading provider of cloud-based digital banking solutions for financial institutions in the U.S., focusing on enabling clients to grow confidently and adapt quickly [3] - The company offers a range of services including retail and commercial banking, digital account opening, payment security, and data and marketing solutions [3]
Alkami and Cornerstone Advisors Release New Digital Banking Performance Metrics Report
Prnewswire· 2025-04-16 14:00
Core Insights - The 2025 Digital Banking Performance Metrics Report indicates a growing parity in digital banking performance among financial institutions over the past six years, moving away from previous performance tier segmentation [2][3] Digital Banking Performance - The report utilizes a percentile-based benchmarking framework, providing performance data at the 75th percentile, median, 25th percentile, and overall averages, allowing banks and credit unions to evaluate their digital banking performance more effectively [2] Key Findings - Participating financial institutions reporting live chat activity increased by 61% from 2022 [7] - Average bill pay adoption rose to 35% in 2024, up from 29% in the previous two years [7] - Active person-to-person (P2P) payment users as a percentage of digital banking users increased by 8 percentage points to 34% in 2024 [7] - Digital checking account openings as a percentage of total checking account openings grew to 21% in 2024, compared to 16% the previous year [7] - The average number of monthly transactions among consumers using mobile payment capabilities increased by nearly 23% in 2024 from the previous year [7]
Alkami Recognizes Industry-Leading Financial Institutions for Innovation in Digital Banking Excellence with FIsionaries Awards
Prnewswire· 2025-04-09 14:00
Core Insights - Alkami Technology, Inc. recognizes financial institutions that are innovating digital banking through the FIsionaries™ Awards, highlighting their strategic advancements in digital transformation, data execution, culture, and user experience [1][4] Group 1: Awards and Recognition - The FIsionaries Awards celebrate organizations that are redefining digital banking with forward-thinking strategies [1] - Quontic Bank is honored for its transition to a fully digital banking model and innovative tap-to-pay debit ring [5] - Connexus Credit Union is recognized for its effective use of developer tools and APIs to enhance member experience and streamline workflows [5] - Nymeo Federal Credit Union is awarded for its employee-first culture that promotes trust and professional growth [5] - Kennebec Savings Bank is acknowledged for its strategic use of data to improve user experience and personalize financial services [5] Group 2: Podcast and Insights - The FIsionaries podcast, hosted by Jim Marous, showcases financial institutions leading in digital banking innovation and sharing their transformation journeys [2][3] - The podcast provides practical insights and success stories from regional and community financial institutions [3][6] - Each award recipient shares their strategies and challenges on the FIsionaries podcast, contributing to the broader conversation on digital transformation in banking [3]
Alkami's Digital Sales & Service Platform to Usher in Era of Anticipatory Banking
Prnewswire· 2025-04-02 15:45
Core Insights - Alkami Technology, Inc. aims to create the premier digital sales and service platform for financial institutions, enhancing their ability to onboard, engage, and grow account holder relationships [1][2] - The Alkami Digital Sales & Service Platform consists of three key solutions designed to improve account holder relationships and facilitate anticipatory banking [2] - Alkami's Mobile App Platform has received J.D. Power certification for two consecutive years, ranking in the top 20% for mobile banking experience based on user satisfaction and operational best practices [3] Company Overview - Alkami Technology, Inc. is a leading provider of cloud-based digital banking solutions in the U.S., focusing on helping financial institutions grow and adapt through various services including retail and business banking, digital account opening, and payment security [5] - The company has made strategic acquisitions, such as MANTL, to enhance its onboarding and account opening solutions, which are proven to increase deposit growth and reduce fraud [6] - Alkami's data and marketing solution utilizes over 50,000 descriptive data tags and AI predictive models, analyzing more than 18 billion core transactions to improve targeting and cross-selling efforts [6]
Alkami Research Studies Reveal Industry Perceptions on Fraud Prevention and Data Protection
Prnewswire· 2025-03-28 14:00
Core Insights - Financial fraud losses in 2024 exceeded $12.5 billion, marking a 25% increase from 2023, with 77% of financial institutions anticipating a peak in fraud cases in 2025 [2] - A significant 93% of digital banking consumers prioritize data protection against fraudsters, while 91% emphasize the importance of safeguarding data from unauthorized third parties [4] Group 1: Fraud Prevention Strategies - Financial institutions are enhancing fraud prevention by adopting real-time fraud detection and a multi-layered approach, alongside educational initiatives for account holders [3] - 67% of surveyed banks and credit unions are willing to incentivize account holders to adopt stronger cybersecurity practices, indicating a shift towards collaborative fraud prevention [2] Group 2: Consumer Expectations - The research indicates that consumers are increasingly aware of the threats to their financial security and expect their financial institutions to take proactive measures to protect their assets [4] - The Generational Trends in Digital Banking Study highlights the critical importance consumers place on data security in their digital banking experiences [4] Group 3: Company Overview - Alkami Technology, Inc. is recognized as a leading provider of cloud-based digital banking solutions in the U.S., focusing on helping financial institutions grow and adapt in a digital landscape [5] - Alkami has received certification from J.D. Power for providing an outstanding mobile banking platform experience, underscoring its commitment to customer satisfaction [5][7]
Alkami and Greenlight Partner to Bring Youth Banking to Financial Services
Prnewswire· 2025-03-26 15:50
Core Insights - Alkami Technology, Inc. partners with Greenlight Financial Technology, Inc. to enhance financial education and money management tools for kids and teens, while also aiding financial institutions in growing deposits [1][2][3] Company Overview - Alkami is a leading cloud-based digital banking solutions provider in the U.S., focused on helping financial institutions grow and adapt through various digital solutions [5] - Greenlight is a family fintech company aimed at helping parents raise financially smart kids through its banking app and debit card for children and teens [6][7] Partnership Details - The collaboration allows Alkami's clients to offer Greenlight's mobile app, which includes features for earning, saving, spending wisely, and giving, along with parental monitoring tools [2][3] - The integration of Greenlight's financial literacy tools into Alkami's platform provides banks and credit unions with resources to teach responsible money management to families [3][4] Educational Features - Greenlight's app includes interactive educational features such as the Level Up™ financial education game, which helps families build healthy financial habits in an engaging manner [3] - Parents can link existing Greenlight accounts or create new ones directly through their financial institution's mobile banking platform, enhancing accessibility to financial education [3] Industry Impact - The partnership is positioned to help financial institutions attract and retain depositors by offering a youth-friendly banking solution that prepares kids for adult accounts [3][4] - Greenlight collaborates with over 100 banks and credit unions to expand its family finance solutions, emphasizing the role of financial institutions in fostering strong financial habits among younger generations [7]
Alkami Customers Including Gate City Bank Strengthen Fraud Prevention with BioCatch
Prnewswire· 2025-03-19 14:00
Core Insights - The partnership between Alkami Technology and BioCatch has successfully prevented over $54 million in fraudulent transactions in 2024, showcasing the effectiveness of their fraud prevention solutions [1][5]. Company Overview - Alkami Technology, Inc. is a leading provider of cloud-based digital banking solutions for financial institutions in the U.S., focusing on enabling clients to grow confidently and adapt quickly [6]. - BioCatch specializes in preventing financial crime by analyzing user behavior patterns, utilizing over 3,000 anonymized data points to distinguish between legitimate users and fraudsters [7]. Fraud Prevention Strategy - Alkami employs a strategic, multi-layered approach to fraud prevention, with BioCatch playing a crucial role in detecting and stopping emerging threats without disrupting user experience [2]. - BioCatch's Account Takeover Protection analyzes unique user interactions, such as mouse movements and typing patterns, to identify suspicious activities in real time [4]. Impact and Results - The collaboration has led to immediate enhancements in fraud defenses, with BioCatch's technology continuously learning and adapting to customer behavior to safeguard identities [3]. - The proactive, behavior-based approach allows financial institutions to identify and prevent account takeover fraud before financial losses occur [2][5]. Industry Context - Fraud remains a significant challenge in the financial services sector, with cybercriminals constantly evolving their tactics to exploit vulnerabilities [2]. - BioCatch's solutions are currently deployed by 34 of the world's largest 100 banks, analyzing 14 billion user sessions monthly and protecting 447 million individuals from fraud [7].
Alkami Announces Pricing of $300 Million Convertible Senior Notes Offering
Prnewswire· 2025-03-11 03:35
Core Viewpoint - Alkami Technology, Inc. has announced the pricing of a $300 million offering of 1.50% convertible senior notes due 2030, aimed at qualified institutional buyers, with settlement scheduled for March 13, 2025 [1][2]. Group 1: Offering Details - The offering consists of $300 million in aggregate principal amount of convertible senior notes, with an option for initial purchasers to buy an additional $45 million [1]. - The notes will accrue interest at a rate of 1.50% per annum, payable semi-annually starting September 15, 2025, and will mature on March 15, 2030 [2]. - The initial conversion rate is set at 30.4681 shares of common stock per $1,000 principal amount of notes, translating to an initial conversion price of approximately $32.82 per share, which is a 37.5% premium over the last reported sale price of $23.87 on March 10, 2025 [2]. Group 2: Redemption and Repurchase Rights - The notes are redeemable at Alkami's option starting March 20, 2028, under certain conditions, including if the stock price exceeds 130% of the conversion price [3]. - In the event of a "fundamental change," noteholders may require Alkami to repurchase their notes for cash at the principal amount plus accrued interest [4]. Group 3: Use of Proceeds - Alkami estimates net proceeds from the offering to be approximately $290.3 million, which will be used to fund the acquisition of MANTL and for general corporate purposes [5]. - Approximately $29.5 million of the net proceeds will fund capped call transactions, with additional proceeds allocated for further capped call transactions if the option to purchase additional notes is exercised [5]. Group 4: Capped Call Transactions - Alkami has entered into capped call transactions to reduce potential dilution from the conversion of the notes, with an initial cap price of $47.74 per share, representing a 100% premium over the last reported sale price [6][7]. - These capped call transactions are designed to offset potential cash payments required upon conversion of the notes [8]. Group 5: Market Impact - The initial hedging activities related to the capped call transactions may influence the market price of Alkami's common stock and the market value of the notes [9]. - Ongoing modifications to hedge positions by option counterparties could further affect the market price of Alkami's common stock and the notes [10].