SAN DIEGO, May 07, 2025 (GLOBE NEWSWIRE) -- Shareholder rights law firm Johnson Fistel, PLLP has launched an investigation into whether the board members of AvidXchange Holdings, Inc. (NASDAQ: AVDX) breached their fiduciary duties in connection with the proposed sale of the Company to TPG Inc. (NASDAQ: TPG). On May 6, 2025, AvidXchange entered into a definitive agreement pursuant to which TPG will acquire all outstanding shares of the Company. Under the terms of the agreement, each holder of the Company’s c ...

Financial Performance - Total revenue for Q1 2025 was $107.9 million, a 2.2% increase year-over-year[12, 21] - Total payment volume reached $20.6 billion in Q1 2025, up 3.7% from $19.9 billion in Q1 2024[16, 33] - Non-GAAP gross profit was $79.1 million in Q1 2025, resulting in a Non-GAAP gross margin of 73.3%, a 90 basis points expansion year-over-year[37] - Adjusted EBITDA margin for Q1 2025 was 16.2%[40] Operational Metrics - Total transactions processed in Q1 2025 were 19.7 million, a 1.9% increase from 19.3 million in Q1 2024[13, 23] - Total transaction yield was $5.48 in Q1 2025, a 0.2% increase from $5.47 in Q1 2024[28] Financial Position - The company's cash and cash equivalents stood at $389.3 million as of Q1 2025[43] - Long-term debt remained at $63.2 million in Q1 2025[43] Non-GAAP Measures - The presentation includes several non-GAAP financial measures such as Non-GAAP Gross Profit, Adjusted EBITDA, and Non-GAAP Net Income (Loss), which are used to supplement GAAP measures and provide insights into the company's operating performance[6, 8, 9]

Financial Performance - Q1 2025 total revenue was $107.9 million, an increase of 2.2% year-over-year compared to $105.6 million in Q1 2024[6] - GAAP net loss for Q1 2025 was $(7.3) million, compared to a net loss of $(1.0) million in Q1 2024[6] - Non-GAAP net income for Q1 2025 was $10.4 million, down from $11.3 million in Q1 2024[6] - Adjusted EBITDA for Q1 2025 was $17.5 million, slightly down from $17.7 million in Q1 2024[6] - Total revenues for the three months ended March 31, 2025, were $107,942 thousand, an increase from $105,598 thousand in the same period of 2024, representing a growth of 2.2%[26] - The net loss for the three months ended March 31, 2025, was $7,311 thousand, compared to a net loss of $1,009 thousand for the same period in 2024, indicating a significant increase in losses[28] - Non-GAAP net income for the three months ended March 31, 2025, was $10,415 thousand, slightly down from $11,262 thousand in the same period of 2024[28] - Adjusted EBITDA for the three months ended March 31, 2025, was $17,517 thousand, compared to $17,665 thousand for the same period in 2024, showing a minor decrease[30] Transaction and Payment Volume - Total transactions processed in Q1 2025 were 19.7 million, a 1.9% increase from 19.3 million in Q1 2024[6] - Total payment volume in Q1 2025 was $20.6 billion, an increase of 3.7% from $19.9 billion in Q1 2024[6] Profitability Metrics - GAAP gross profit was $71.0 million, or 65.8% of total revenue, compared to $69.2 million, or 65.5% in Q1 2024[6] - Non-GAAP gross profit was $79.1 million, or 73.3% of total revenue, compared to $76.5 million, or 72.4% in Q1 2024[6] - GAAP gross margin for the three months ended March 31, 2025, was 65.8%, slightly up from 65.5% in the same period of 2024[26] Balance Sheet and Cash Flow - The company has a strong balance sheet with cash and marketable securities totaling $389.3 million[6] - Cash and cash equivalents, along with restricted funds held for customers, decreased to $1,456,833 thousand as of March 31, 2025, from $1,605,983 thousand at the beginning of the year[24] - Total current assets as of March 31, 2025, were $1,625,841 thousand, down from $1,720,714 thousand as of December 31, 2024, reflecting a decline of 5.5%[22] - Total liabilities decreased to $1,312,645 thousand as of March 31, 2025, from $1,417,878 thousand as of December 31, 2024, a reduction of approximately 7.4%[22] - Cash used in financing activities for the three months ended March 31, 2025, was $101,020 thousand, compared to $355,612 thousand in the same period of 2024, indicating a significant reduction in cash outflow[24] Stock-Based Compensation - The company reported stock-based compensation expense of $14,486 thousand for the three months ended March 31, 2025, compared to $10,959 thousand in the same period of 2024, an increase of 32.5%[28] Outlook - AvidXchange is suspending its previously issued financial outlook for fiscal 2025 due to a pending acquisition by TPG in partnership with Corpay[7]

Financial Performance - AvidXchange Holdings, Inc. reported total revenue of $107.9 million for Q1 2025, representing a year-over-year increase of 2.2% from $105.6 million in Q1 2024 [6][18] - The company experienced a GAAP net loss of $(7.3) million in Q1 2025, compared to a net loss of $(1.0) million in Q1 2024 [6][18] - Non-GAAP net income for Q1 2025 was $10.4 million, down from $11.3 million in the same period last year [6][18] - Adjusted EBITDA for Q1 2025 was $17.5 million, slightly lower than $17.7 million in Q1 2024 [6][18] Key Business Metrics - Total transactions processed in Q1 2025 were 19.7 million, an increase of 1.9% from 19.3 million in Q1 2024 [7] - Total payment volume in Q1 2025 reached $20.6 billion, up 3.7% from $19.9 billion in Q1 2024 [7] - The transaction yield for Q1 2025 was $5.48, a slight increase of 0.2% from $5.47 in Q1 2024 [7] Financial Outlook - AvidXchange has suspended its previously issued financial outlook for fiscal 2025 due to its pending acquisition by TPG in partnership with Corpay [4] - The company will not hold a teleconference to discuss its Q1 2025 financial results, providing supplemental information on its Investor Relations website instead [5] Balance Sheet and Cash Flow - As of March 31, 2025, AvidXchange had cash and marketable securities totaling $389.3 million [6] - The company reported net cash provided by operating activities of $7.4 million for Q1 2025, a significant improvement from a use of $(6.4) million in the prior year [6][24]

Core Viewpoint - AvidXchange Holdings, Inc. is set to be acquired by TPG and Corpay for $10.00 per share, valuing the company at $2.2 billion, which represents a significant premium over its recent stock prices [1][2]. Acquisition Details - The acquisition price of $10.00 per share reflects a 22% premium over AvidXchange's closing price of $8.20 on May 6, 2025, a 16% premium over the 90-day volume weighted average price, and a 45% premium over the closing price of $6.89 on March 12, 2025 [2]. - Upon completion, AvidXchange will transition to a private company, allowing for greater flexibility in investing in growth and enhancing integrated payment solutions [2]. Company Background - AvidXchange is a leading provider of accounts payable automation software and payment solutions, serving over 8,500 middle market businesses and facilitating payments to more than 1,350,000 suppliers in the past five years [9]. - The company has established itself as a leader in AP automation and payment software, with a differentiated platform aimed at growth [3]. Strategic Insights - TPG and Corpay view AvidXchange as a leader in AP automation, with significant opportunities to enhance its solutions and improve efficiency in payment processes [3]. - The partnership aims to leverage TPG's technology expertise and Corpay's corporate payments capabilities to accelerate AvidXchange's growth [3]. Transaction Approval and Timeline - The transaction has been unanimously approved by AvidXchange's Board of Directors, and certain senior management members will rollover a significant portion of their equity [4]. - The deal is subject to customary closing conditions, including stockholder approval and regulatory approvals, and is expected to close in the fourth quarter of 2025 [5]. Financial Advisory - Financial Technology Partners and Barclays are acting as financial advisors to AvidXchange, while TPG is advised by J.P. Morgan Securities LLC, Moelis & Company, and RBC Capital Markets [7][8].

Core Insights - AvidXchange Holdings, Inc. (AVDX) is expected to report quarterly earnings of $0.06 per share, unchanged from the previous year, with revenues forecasted at $109.74 million, reflecting a 3.9% year-over-year increase [1] - Analysts' consensus EPS estimate has remained stable over the last 30 days, indicating a reassessment of initial estimates by covering analysts [1][2] Revenue Estimates - 'Revenues- Payment' is projected to reach $77.78 million, marking a 3.4% increase from the prior-year quarter [4] - 'Revenues- Software' is estimated at $30.78 million, indicating a 3.7% rise from the same period last year [4] Transaction Metrics - 'Transactions Processed' is expected to total 19.73 million, slightly up from 19.3 million reported in the same quarter last year [5] - 'Total Payment Volume' is anticipated to reach $20.77 billion, compared to $19.90 billion in the previous year [5] Market Performance - AvidXchange shares have increased by 6.3% over the past month, outperforming the Zacks S&P 500 composite, which saw a 0.4% increase [6] - The company holds a Zacks Rank 3 (Hold), suggesting it is expected to perform in line with the overall market in the near future [6]

Company Overview - AvidXchange Holdings, Inc. is a leading provider of accounts payable (AP) automation software and payment solutions specifically designed for middle market businesses and their suppliers [3] - The company offers a software-as-a-service-based, end-to-end platform that digitizes and automates AP workflows for over 8,500 businesses [3] - AvidXchange has facilitated payments to more than 1,350,000 supplier customers over the past five years [3] Financial Results Announcement - AvidXchange will release its financial results for the first quarter of 2025, which ended on March 31, 2025, on May 7, 2025 [1] - A conference call is scheduled for 10:00 AM ET on the same day to discuss the financial results [1][2] - The call will be available for live broadcast via webcast and a recorded replay will be accessible on the AvidXchange Investor Relations website after the call [2]

Core Insights - AvidXchange Inc. has launched new AI agents and enhancements in its invoice automation solution, aimed at improving efficiency, visibility, and control for finance professionals [1][3] - A survey indicated that 76% of mid-market finance departments see the value of AI in enhancing efficiency and decision-making [2] Company Overview - AvidXchange is a leading provider of accounts payable (AP) automation, focusing on intelligent AP software and payment solutions for mid-market businesses and their suppliers [4] - The company has 25 years of experience in the industry and has processed payments to over 1.3 million suppliers through its proprietary payment network in the last five years [4] AI Enhancements - The new AI Approval Agent analyzes historical data to provide real-time insights on invoice approval likelihood, while ensuring human oversight in final decisions [5] - The AI PO Matching Agent automates the matching of line-item details from invoices to purchase orders, improving accuracy and accelerating approvals [5] - Enhancements in the Invoice Capture feature allow for continuous learning of data patterns, resulting in approval-ready invoices and reduced manual touchpoints [5] Customer Impact - AvidXchange's AI-driven features have led to a 20% reduction in invoice discrepancies for clients, allowing teams to focus on strategic priorities [3]

AvidXchange Holdings, Inc. (AVDX) ended the recent trading session at $8.48, demonstrating a +0.24% swing from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.08%. On the other hand, the Dow registered a gain of 0.08%, and the technology-centric Nasdaq increased by 0.52%.The company's shares have seen a decrease of 10.85% over the last month, surpassing the Computer and Technology sector's loss of 12.04% and falling behind the S&P 500's loss of 7.33%.Investors will be eag ...

Company Performance - AvidXchange Holdings, Inc. closed at $8.46, reflecting a +0.48% change from the previous session, outperforming the S&P 500 which lost 0.22% [1] - The company's shares experienced a loss of 13.82% over the past month, underperforming the Computer and Technology sector's loss of 12% and the S&P 500's loss of 7.48% [1] Upcoming Earnings - The company is expected to report an EPS of $0.06, indicating no change from the same quarter last year, with a forecasted quarterly revenue of $109.74 million, up 3.92% year-over-year [2] - For the annual period, earnings are anticipated to be $0.28 per share and revenue at $457.33 million, representing increases of +7.69% and +4.19% respectively from the previous year [3] Analyst Estimates - Recent changes to analyst estimates for AvidXchange Holdings, Inc. are crucial for investors as they reflect the evolving business trends [4] - Positive revisions in estimates indicate analysts' confidence in the company's performance and profit potential [4] Zacks Rank and Valuation - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), shows AvidXchange Holdings, Inc. currently holds a Zacks Rank of 3 (Hold) [6] - The Forward P/E ratio for AvidXchange Holdings, Inc. is 30.07, which is higher than the industry average of 27.92, indicating the company is trading at a premium [7] - The Internet - Software industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 84, placing it in the top 34% of over 250 industries [7]