This software company has barely scratched the surface of its enormous addressable market.Bill.com (BILL -1.96%) is an enterprise software company that helps small and mid-sized businesses (SMBs) streamline their bookkeeping and expense management workflows. Its stock came public in December 2019 at $22 per share, and in less than two years, it had soared 1,418% to an all-time high of $334.Capital was cheap back then thanks to historically low interest rates, so Bill invested heavily in growing its customer ...

Core Insights - Bill Holdings has experienced a significant stock price increase, reaching $90.00 per share, which is a 61% rise in the past month, although it remains 70% below its peak of $342.26 in November 2021 [1][2] Company Performance - For the first quarter of fiscal 2025, Bill reported an 18% year-over-year revenue growth and adjusted earnings per share (EPS) of $0.63, up from $0.44 in the same quarter last year, exceeding Wall Street estimates [5][6] - The number of transactions processed increased by 16% year-over-year, with a record total payment volume of $80 billion, driven by strong customer response to new AI-powered features [6][4] Financial Guidance - Bill has updated its guidance for 2025, expecting total annual revenue growth between 12% and 13%, an increase from the previous forecast of 11%, and adjusted EPS estimates have been raised to between $1.65 and $1.83 [7][8] - The company's total revenue for 2024 was $1,290 million, with new estimates for 2025 ranging from $1,439 million to $1,464 million, reflecting a positive outlook [8] Market Position and Valuation - Bill Holdings is positioned uniquely within the SMB operating landscape, with optimism for macroeconomic conditions to improve as interest rates decline, potentially benefiting the company [9][10] - The stock is currently trading at a price-to-free cash flow ratio of 33 times its $291 million in free cash flow, which is considered a discount compared to larger competitors like Intuit, SAP, and Oracle [11] Investment Outlook - The company appears to be on a path toward more consistent financial performance, suggesting a potential for significant stock price appreciation in the coming year [12]

Financial stocks continued to rise following the election.Shares of Bill Holdings (BILL 11.10%) were among the winners Monday. The software company that specializes in back-office accounting and payments for small and medium-sized businesses (SMBs) continued to gain following last Friday's pop on a better-than-expected earnings report. The stock seemed to benefit from a broader upward trend in fintech stocks today.As a result, Bill finished up 11.1% on Monday. Bill is suddenly in rally modeBill, the owner o ...

The company closed the business week with a very impressive earnings report.As the stock-trading week came to a close, Bill Holdings (BILL 17.31%) saw its shares zoom well higher on the fintech's latest news. Specifically, the company published its latest-earnings release, which featured several impressive developments. The stock closed the day up more than 17% in price, far outpacing the S&P 500 index's 0.4% gain.The core comes throughBill Holdings' news hit the headlines just after market close Thursday, ...

BILL Holdings (BILL) reported earnings of 63 cents per share in the first quarter of fiscal 2025, beating the Zacks Consensus Estimate by 28.57% and increasing 43.2% year over year.Revenues of $358.5 million increased 17.5% year over year and surpassed the consensus mark by 3.01%. The top line was driven by 18.8% growth in BILL’s core revenues.The company processed $79.9 billion in total payment volume (TPV) in the reported quarter, increasing 13.8% year over year. This included $72.8 billion in TPV in its ...

Core Insights - Bill Holdings reported revenue and earnings that exceeded management's expectations for the first quarter of fiscal 2025 [1][2] Financial Performance - Total revenue for Q1 2025 was $358.5 million, surpassing the guidance range of $346 million to $351 million, and representing an 18% increase from $304.9 million in Q1 2024 [2][6] - Core revenue increased by 19% to $314.9 million, exceeding the expected range of $305 million to $310 million [2][3] - Non-GAAP operating income surged by 101% to $67.1 million, significantly above the guidance of $52 million to $57 million [3][7] - Non-GAAP net income rose to $68.6 million, up from $51.6 million a year ago, and above the guidance of $53 million to $57 million [3][7] - Earnings per share (diluted) reached $0.63, beating the predicted range of $0.48 to $0.51, and up 43% from $0.44 in Q1 2024 [3][7] Business Overview - Bill Holdings provides an AI-enabled financial operations platform that automates key back-office functions for small and midsize businesses (SMBs), including accounts payable and receivables automation [4] - The company serves over 476,200 businesses with a total payment volume of $80 billion [5] Growth Drivers - The growth in revenue was attributed to the scaling of its AI-driven platform, enhancing automation and financial anomaly detection capabilities [6] - Operating losses decreased significantly from $56.6 million in the previous year to $7.7 million this quarter, reflecting improved operational efficiency [8] Future Outlook - For the upcoming fiscal quarter, total revenue is projected to be between $355.5 million and $360.5 million, with core revenue expected to grow by 15% to 17% year over year [9] - Management maintains a positive outlook for fiscal 2025, forecasting revenue in the range of $1.439 billion to $1.464 billion, indicating a strong path toward sustained profitability despite slight moderation in growth rates [9]

Core Insights - BILL Holdings reported revenue of $358.45 million for the quarter ended September 2024, marking a year-over-year increase of 17.5% and exceeding the Zacks Consensus Estimate by 3.01% [1] - The company achieved an EPS of $0.63, which is a 16.7% increase from $0.54 a year ago, and surpassed the consensus EPS estimate of $0.49 by 28.57% [1] Financial Performance Metrics - Total Payment Volume reached $80 billion, exceeding the average estimate of $77.21 billion from four analysts [3] - The number of transactions processed was 29 million, slightly above the average estimate of 28.01 million based on three analysts [3] - Revenue from subscription and transaction fees was $314.94 million, compared to the average estimate of $307.08 million, reflecting an 18.8% year-over-year increase [3] - Revenue from interest on funds held for customers was $43.51 million, surpassing the estimated $41.02 million and showing a 9.2% increase from the previous year [3] Stock Performance - Shares of BILL Holdings have returned +18.3% over the past month, significantly outperforming the Zacks S&P 500 composite's +3.2% change [4] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [4]

Financial Data and Key Metrics Changes - In Q1 2025, the company reported strong core revenue growth of 19% year-over-year, up from 16% in the previous quarter [9][40] - Total revenue reached $358 million, an 18% increase year-over-year [43] - Non-GAAP operating income margin improved to 19%, an increase of 8 percentage points from the previous year [9][50] - Free cash flow margin expanded to 23%, reflecting a 7 percentage point increase from last year [10][50] - Non-GAAP net income was $69 million, up 33% year-over-year, with a non-GAAP net income margin of 19% [51] Business Line Data and Key Metrics Changes - Revenue from the integrated platform, excluding the financial institution channel, was $295 million, up 18% year-over-year [44] - BILL AP/AR solution revenue was $162 million, a 13% increase year-over-year, with total payment volume (TPV) growing 12% [45] - BILL Spend & Expense solution revenue was $133 million, up 25% year-over-year, driven by 26% card payment volume growth [46] - Revenue from embedded and other solutions, including Invoice2go, was $20 million, up 28% year-over-year [48] Market Data and Key Metrics Changes - The company managed $80 billion in total payment volume across 29 million payment transactions during the quarter [10] - The annual growth rates for international FX payment volume and revenue increased by 10 percentage points compared to the previous quarter [36] Company Strategy and Development Direction - The company is focused on expanding its lead in the financial operations category for small and mid-sized businesses (SMBs) [15][27] - Investments are being made in enhancing virtual card, international payments, and working capital solutions to drive sustainable revenue growth [34][36] - The company aims to leverage its large distribution ecosystem, which includes partnerships with over 8,500 accounting firms, to enhance market penetration [26] Management's Comments on Operating Environment and Future Outlook - Management noted that while the economy remains uncertain, there are signs of resilience among SMBs, which is expected to support growth [92] - The company is committed to balancing investments for future growth while returning capital to shareholders, having repurchased $200 million of shares [30][31] - Guidance for Q2 2025 expects total revenue in the range of $355.5 million to $360.5 million, reflecting a conservative outlook due to economic uncertainties [54] Other Important Information - The company introduced new payment innovations, including real-time funding options and expanded international payment capabilities [19][21] - The company has added leadership talent to its executive team to drive innovation and growth in payments and financial services [29] Q&A Session Summary Question: Success in moving upmarket with BILL AP/AR - Management highlighted a focus on driving more functionality per customer, resulting in increased value and revenue growth [62][64] Question: Trends in vendor acceptance and take rate - Management noted stable take rates and ongoing efforts to engage suppliers, which have positively impacted overall monetization [68][70] Question: New client growth expectations - Management emphasized a strong focus on different go-to-market strategies, with significant opportunities to increase market penetration among SMBs [80][81] Question: Health of small businesses and durability of TPV increase - Management expressed confidence in the resilience of SMBs and noted positive signals in spending trends, indicating a potential for sustained growth [92][111] Question: Insights on investment spending and risk appetite - Management confirmed that investments are on track and that they are leveraging data to manage risk effectively while scaling new products [84][88]

BILL Holdings (BILL) came out with quarterly earnings of $0.63 per share, beating the Zacks Consensus Estimate of $0.49 per share. This compares to earnings of $0.54 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 28.57%. A quarter ago, it was expected that this payment processing software company would post earnings of $0.46 per share when it actually produced earnings of $0.57, delivering a surprise of 23.91%.Over the last f ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________ FORM 10-Q _____________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File Number: 001-39149 _____________________ BILL HOLDINGS, ...