Klaviyo (KVYO) Q1 2025 Earnings Call May 06, 2025 04:30 PM ET Company Participants Andrew Zilli - Vice President of Investor RelationsAndrew Bialecki - Co-Founder, CEO & ChairpersonAmanda Whalen - Chief Financial OfficerRaimo Lenschow - Managing DirectorJackson Ader - Managing DirectorParker Lane - Managing Director - Equity ResearchArjun Bhatia - Co-Group Head - Technology, Media & CommunicationsTerry Tillman - Managing DirectorElizabeth Porter - Executive DirectorBrett Huff - Managing Director Conference ...

Klaviyo (KVYO) Q1 2025 Earnings Call May 06, 2025 04:30 PM ET Speaker0 Thank you. With that, I would like to turn the call over to Andrew Zilli, Vice President of Investor Relations. You may begin. Speaker1 Thanks. Speaker2 Good afternoon, and thanks for joining Klaviyo's first quarter twenty twenty five earnings call. Our earnings press release, investor presentation, SEC filings and a replay of today's call can be found on our IR website at investors.claviyo.com. With me on the call today are Andrew Bayal ...

Q1 2025 Investor Presentation 05.06.2025 This presentation includes certain "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. Other than statements of historical facts, all statements contained in this presentation and accompanying oral commentary, including, but not limited to, statements about Klaviyo's outlook for the second quarter of fiscal year 2025 and the full fiscal year ending December 31, 2025, and Kl ...

[PART I. FINANCIAL INFORMATION](index=6&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Financial Statements](index=6&type=section&id=Item%201.%20Financial%20Statements) Klaviyo reported significant revenue growth in Q1 2025, alongside a net loss, increased total assets, and a decrease in operating cash flow [Condensed Consolidated Balance Sheets (Unaudited)](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets%20(Unaudited)) The balance sheet shows total assets increased to $1.347 billion, total liabilities rose to $283.4 million, and stockholders' equity grew to $1.064 billion as of March 31, 2025 Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $888,432 | $881,473 | | Total current assets | $1,007,239 | $979,749 | | Total assets | $1,347,311 | $1,273,308 | | **Liabilities & Equity** | | | | Total current liabilities | $192,824 | $199,893 | | Total liabilities | $283,379 | $239,321 | | Total stockholders' equity | $1,063,932 | $1,033,987 | [Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited)](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss%20(Unaudited)) For Q1 2025, revenue grew 33.3% to $279.8 million, gross profit increased, but operating loss widened to $23.8 million, resulting in a net loss of $14.1 million Statement of Operations Summary (in thousands, except per share data) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Revenue | $279,827 | $209,993 | | Gross Profit | $212,127 | $165,055 | | Operating Loss | $(23,750) | $(22,092) | | Net Loss | $(14,089) | $(12,882) | | Net loss per share, basic and diluted | $(0.05) | $(0.05) | [Condensed Consolidated Statements of Cash Flows (Unaudited)](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20(Unaudited)) Net cash provided by operating activities decreased to $14.4 million in Q1 2025, while cash used in investing activities increased, resulting in a net increase in cash of $6.6 million Cash Flow Summary (in thousands) | Activity | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $14,362 | $26,182 | | Net cash used in investing activities | $(7,741) | $(3,225) | | Net cash used in financing activities | $(37) | $(5,737) | | **Net increase in cash** | **$6,584** | **$17,220** | [Notes to Condensed Consolidated Financial Statements (Unaudited)](index=10&type=section&id=Notes%20to%20Condensed%20Financial%20Statements%20(Unaudited)) The notes detail revenue recognition from tiered subscriptions, highlight Shopify collaboration fees of $7.9 million, and report remaining performance obligations of $173.1 million and stock-based compensation of $39.4 million for Q1 2025 - Revenue is generated through tiered subscription plans based on **consumer profiles and message volume**[29](index=29&type=chunk) - Fees paid to Shopify under a revenue sharing agreement totaled **$7.9 million in Q1 2025**, recognized as selling and marketing expense[39](index=39&type=chunk) - Remaining performance obligations totaled **$173.1 million** as of March 31, 2025, with **$163.7 million** expected within twelve months[47](index=47&type=chunk) - Total stock-based compensation expense was **$39.4 million** for Q1 2025[85](index=85&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=22&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reported a 33.3% revenue increase in Q1 2025 driven by new and existing customers, alongside a 40% rise in high-ARR customers, despite a decline in NRR and continued net losses due to increased operating expenses - As of March 31, 2025, Klaviyo served over **169,000 businesses globally**[97](index=97&type=chunk)[100](index=100&type=chunk) Key Performance Metrics (as of March 31) | Metric | 2025 | 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Customers > $50k ARR | 3,030 | 2,157 | +40% | | NRR | 108% | 114% | -6 p.p. | - Revenue for Q1 2025 increased by **$69.8 million (33.3%) YoY**, with **60% from new customers** and **40% from existing customer expansion**[142](index=142&type=chunk) - Cost of revenue grew **50.7% YoY**, outpacing revenue growth, driven by increased cloud infrastructure and outbound communication costs[143](index=143&type=chunk) - Selling and marketing expenses rose **34.5% YoY to $123.5 million**, primarily due to personnel, advertising, and partnership costs[145](index=145&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=34&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces interest rate risk on its $889.2 million cash holdings and foreign currency risk from international operating expenses, though sales are USD-denominated and no hedging derivatives are used - The company is exposed to interest rate risk on its **$889.2 million cash, cash equivalents, and restricted cash balance** as of March 31, 2025, with no debt[176](index=176&type=chunk) - Foreign currency risk arises from operating expenses denominated in local currencies (e.g., UK, Australia, Ireland), while all sales are in **U.S. dollars**[179](index=179&type=chunk) - A hypothetical **10% change in the U.S. dollar's value** is not expected to materially impact operating results[179](index=179&type=chunk) [Controls and Procedures](index=35&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of March 31, 2025, with no material changes to internal control over financial reporting during Q1 2025 - Management concluded that disclosure controls and procedures were **effective as of March 31, 2025**[181](index=181&type=chunk) - No material changes occurred in internal control over financial reporting during Q1 2025[182](index=182&type=chunk) [PART II. OTHER INFORMATION](index=37&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=37&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently involved in any material legal proceedings expected to adversely affect its financial condition or operations - Klaviyo is not currently a party to any **material legal proceedings**[186](index=186&type=chunk) [Risk Factors](index=37&type=section&id=Item%201A.%20Risk%20Factors) Key risks include sustaining revenue growth, managing expansion, intense competition, significant dependency on Shopify, compliance with data privacy laws, cybersecurity, reliance on key personnel, and concentrated voting power - The company's rapid historical revenue growth, including **33.3% for Q1 2025**, may not be sustainable and could decelerate[188](index=188&type=chunk) - A significant dependency exists on Shopify integration, with approximately **77.7% of ARR** as of December 31, 2024, from customers also using Shopify[204](index=204&type=chunk) - The company has a history of net losses, including **$14.1 million in Q1 2025**, and increasing operating expenses may hinder future profitability[217](index=217&type=chunk) - The business is subject to stringent and evolving data privacy laws like **GDPR and CCPA**, with non-compliance risking significant fines and business harm[283](index=283&type=chunk)[298](index=298&type=chunk)[300](index=300&type=chunk) - The dual-class stock structure concentrates **64.6% of voting power** with insiders as of March 31, 2025, limiting Series A stockholders' influence[349](index=349&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=77&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Shopify exercised warrants for 344,382 Series B common shares on February 21, 2025, in an unregistered sale, with no material change in IPO proceeds use - On February 21, 2025, Shopify exercised warrants for **344,382 Series B common shares** at **$0.01 per share**, exempt from registration[376](index=376&type=chunk) - No material change occurred in the use of proceeds from the company's IPO[377](index=377&type=chunk) [Other Information](index=79&type=section&id=Item%205.%20Other%20Information) Director Ping Li adopted a Rule 10b5-1 trading plan on March 14, 2025, for the sale of 15,573 shares, with no other similar arrangements by directors or officers during the quarter - Director Ping Li adopted a Rule 10b5-1 trading plan on March 14, 2025, for the sale of **15,573 shares**[381](index=381&type=chunk) [Exhibits](index=80&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the 10-Q report, including required certifications from principal officers and interactive data files - The filing includes required certifications from the **Principal Executive Officer and Principal Financial Officer** pursuant to SEC rules and the Sarbanes-Oxley Act[383](index=383&type=chunk)

[Q1 2025 Performance and Outlook](index=1&type=section&id=Klaviyo%20Announces%20First%20Quarter%202025%20Financial%20Results) [Financial Highlights](index=1&type=section&id=First%20Quarter%202025%20Financial%20Highlights%3A) Klaviyo reported strong Q1 2025 financial results, with significant revenue growth and positive non-GAAP profitability | Financial Metric | Q1 FY25 | YoY Growth | | :--- | :--- | :--- | | Revenue | $279.8M | 33% | | Gross Profit (GAAP) | $212.1M | - | | Gross Margin (GAAP) | 76% | - | | Operating Loss (GAAP) | $(23.8)M | - | | Operating Income (Non-GAAP) | $32.4M | - | | Net Loss per Share (GAAP) | $(0.05) | - | | Net Income per Share (Non-GAAP, diluted) | $0.14 | - | | Cash from Operating Activities | $14.4M | - | | Free Cash Flow | $6.6M | - | - First quarter revenue grew **33% year-over-year to $279.8 million**[1](index=1&type=chunk)[2](index=2&type=chunk) [Business & Customer Metrics](index=1&type=section&id=Recent%20Business%20Highlights%3A) Klaviyo demonstrated strong customer growth, increasing total customers and large customer count, with NRR at 108% - Total customer base grew to **over 169,000** as of March 31, 2025, up from over 146,000 a year prior[5](index=5&type=chunk) - The number of customers generating over $50,000 of ARR increased by **40% year-over-year to 3,030**[5](index=5&type=chunk) - Net Revenue Retention Rate (NRR) was **108%** as of March 31, 2025, indicating strong expansion within the existing customer base[5](index=5&type=chunk) - Announced the Klaviyo B2C CRM, launching new Marketing Analytics and Customer Hub products[5](index=5&type=chunk) [FY2025 Financial Outlook](index=2&type=section&id=Financial%20Outlook) Klaviyo raised its full-year 2025 revenue guidance, projecting 25-26% annual growth and strong non-GAAP operating income | Guidance ($ in millions) | Q2 FY25 (Low) | Q2 FY25 (High) | FY25 (Low) | FY25 (High) | | :--- | :--- | :--- | :--- | :--- | | Revenue | $276.0 | $280.0 | $1,171.0 | $1,179.0 | | YoY Growth Rate | 24% | 26% | 25% | 26% | | Non-GAAP Operating Income | $28.5 | $31.5 | $133.0 | $139.0 | - Raised full-year 2025 revenue guidance to a range of **$1.171 billion to $1.179 billion**[1](index=1&type=chunk) [Consolidated Financial Statements (Unaudited)](index=8&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Balance Sheet](index=8&type=section&id=Klaviyo%2C%20Inc.%20Condensed%20Consolidated%20Balance%20Sheet%20%28Unaudited%29) As of March 31, 2025, Klaviyo's total assets increased to $1.35 billion, with strong cash and growing stockholders' equity | Balance Sheet (In Thousands) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$1,347,311** | **$1,273,308** | | Cash and cash equivalents | $888,432 | $881,473 | | **Total Liabilities** | **$283,379** | **$239,321** | | **Total Stockholders' Equity** | **$1,063,932** | **$1,033,987** | [Condensed Consolidated Statement of Operations](index=9&type=section&id=Klaviyo%2C%20Inc.%20Condensed%20Consolidated%20GAAP%20Statement%20of%20Operations%20%28Unaudited%29) Q1 2025 revenue grew 33% YoY to $279.8 million, but increased operating expenses led to a GAAP operating loss and net loss | Statement of Operations (In Thousands) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Revenue | $279,827 | $209,993 | | Gross Profit | $212,127 | $165,055 | | Total Operating Expenses | $235,877 | $187,147 | | Operating Loss | $(23,750) | $(22,092) | | Net Loss | $(14,089) | $(12,882) | | Net Loss Per Share | $(0.05) | $(0.05) | [Condensed Consolidated Statement of Cash Flows](index=10&type=section&id=Klaviyo%2C%20Inc.%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows%20%28Unaudited%29) In Q1 2025, operating cash flow was $14.4 million, resulting in free cash flow of $6.6 million after capital expenditures | Cash Flows (In Thousands) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $14,362 | $26,182 | | Net cash used in investing activities | $(7,741) | $(3,225) | | Net cash used in financing activities | $(37) | $(5,737) | | **Free Cash Flow** | **$6,621** | **$22,957** | [Reconciliation of GAAP to Non-GAAP Financial Measures](index=5&type=section&id=Statement%20Regarding%20Use%20of%20Non-GAAP%20Financial%20Measures) [Overview of Non-GAAP Adjustments](index=5&type=section&id=Overview%20of%20Non-GAAP%20Adjustments) Klaviyo uses non-GAAP measures to provide a clearer view of core operational performance, excluding non-cash and non-recurring expenses - Non-GAAP measures exclude expenses such as stock-based compensation and related employer payroll taxes, and amortization of prepaid marketing expenses[22](index=22&type=chunk) - Management believes these non-GAAP measures are useful for understanding long-term core business performance and for comparison with peer companies[23](index=23&type=chunk)[24](index=24&type=chunk) [Operating Income Reconciliation](index=11&type=section&id=Klaviyo%2C%20Inc.%20Reconciliation%20of%20Operating%20Loss%20to%20Non-GAAP%20Operating%20Income%20%28Unaudited%29) Klaviyo reconciled GAAP operating loss to non-GAAP operating income, primarily adjusting for stock-based compensation and other non-cash items | Reconciliation (In Thousands) | Q1 2025 | | :--- | :--- | | **Operating loss (GAAP)** | **$(23,750)** | | Stock-based compensation | $38,327 | | Employer payroll tax on employee stock transactions | $4,610 | | Amortization of prepaid marketing | $13,224 | | **Non-GAAP operating income** | **$32,411** | [Net Income Reconciliation](index=12&type=section&id=Klaviyo%2C%20Inc.%20Reconciliation%20of%20Net%20Loss%20to%20Non-GAAP%20Net%20Income%20%28Unaudited%29) A GAAP net loss was converted to a non-GAAP net income of $42.1 million, resulting in a non-GAAP diluted EPS of $0.14 | Reconciliation (In Thousands) | Q1 2025 | | :--- | :--- | | **Net loss (GAAP)** | **$(14,089)** | | Stock-based compensation | $38,327 | | Employer payroll tax on employee stock transactions | $4,610 | | Amortization of prepaid marketing | $13,224 | | **Non-GAAP net income** | **$42,072** | | Non-GAAP net income per share, diluted | $0.14 | [Free Cash Flow Reconciliation](index=13&type=section&id=Klaviyo%2C%20Inc.%20Reconciliation%20of%20Operating%20Cash%20Flow%20to%20Free%20Cash%20Flow%20%28Unaudited%29) Free cash flow for Q1 2025 was $6.6 million, derived from operating cash flow after capital expenditures and capitalized software | Reconciliation (In Thousands) | Q1 2025 | | :--- | :--- | | **Cash provided by operating activities** | **$14,362** | | Acquisition of property and equipment | $(2,685) | | Capitalization of software development costs | $(5,056) | | **Free cash flow** | **$6,621** | [Additional Information](index=3&type=section&id=Additional%20Information) [Key Business Metrics & Definitions](index=3&type=section&id=Select%20Defined%20Terms) Klaviyo defines key business metrics including customer count, large customer ARR, and Dollar-Based Net Revenue Retention Rate - **Customer:** A distinct paid subscription to the platform. Free trial users are not included[11](index=11&type=chunk) - **Customers Generating Over $50,000 of ARR:** Customers with an average ARR greater than $50,000 over the prior twelve months, indicating success in moving upmarket[12](index=12&type=chunk) - **Dollar-Based Net Revenue Retention Rate (NRR):** Measures revenue growth from the existing customer cohort over a twelve-month period, including expansion and contraction, but excluding new customers[13](index=13&type=chunk)[14](index=14&type=chunk) [Share Capital Structure](index=2&type=section&id=Dilutive%20Securities) As of March 31, 2025, Klaviyo had 275.6 million common shares outstanding, with total estimated fully diluted shares at 323.5 million | Security Type | Shares (in millions) | | :--- | :--- | | Common stock outstanding | 275.6 | | Warrants outstanding | 3.4 | | RSUs outstanding | 20.0 | | Options outstanding | 24.2 | | **Total estimated fully diluted shares** | **323.5** | - The Shopify investment option to purchase **15.7 million shares at $88.93/share** was out of the money and excluded from the fully diluted share count[9](index=9&type=chunk)

Core Insights - Email newsletters are recognized as reliable and cost-effective marketing tools, with Klaviyo named the top email newsletter software for 2025 by Expert Consumers [1][6] Industry Trends - Businesses are increasingly relying on owned marketing channels like email due to rising paid advertising costs and unpredictable social media algorithms, with email being a top ROI-generating channel for nearly 79% of businesses [2] - Email newsletters have evolved into personalized, data-driven engagement tools, essential for brand awareness, customer retention, and direct sales [4] Company Highlights - Klaviyo is a unified B2C CRM software that integrates email marketing, customer analytics, and automation, providing sophisticated tools for businesses to enhance their email marketing strategies [3][12] - The platform offers over 160 professionally designed email templates and AI-powered writing assistance to optimize newsletters for higher engagement [9][10] - Klaviyo's automated workflows allow for triggered email sequences, ensuring timely and relevant messaging based on customer behavior [11][13] Strategic Importance - The recognition of Klaviyo reflects the demand for smarter, personalized email marketing solutions, moving beyond traditional bulk messaging to a more strategic, data-driven approach [12][14] - Klaviyo empowers brands to leverage real-time customer insights for refined outreach strategies, enhancing engagement and customer loyalty [13][14]

Core Insights - Email marketing remains a highly effective channel for B2C brands, with a growing emphasis on personalized and data-driven strategies [1][3][10] - Klaviyo has been recognized as the best email marketing tool for 2025 due to its AI-driven automation, customer segmentation, and integration capabilities [1][3][12] Group 1: Klaviyo's Features and Capabilities - Klaviyo integrates marketing automation, analytics, and customer service into a unified platform designed specifically for B2C brands [2][5] - The platform offers over 60 built-in automation flows, enabling brands to manage various email campaigns such as welcome emails and cart abandonment reminders [6] - Customizable email templates support mobile optimization and branding consistency, allowing businesses to adapt campaigns for different customer segments [7] Group 2: Importance of Data and Personalization - Modern email marketing relies on automation, predictive analytics, and audience segmentation to effectively engage customers, moving away from generic email blasts [3][11] - Klaviyo's integration of real-time data and AI helps brands predict customer behavior and make data-backed marketing decisions [9][10] - The focus on first-party data and owned channels like email and SMS allows brands to maintain control over customer interactions, enhancing customer retention and long-term engagement [10][11] Group 3: Industry Trends - The recognition of Klaviyo reflects a broader industry shift towards smarter, data-centric marketing solutions that prioritize relevant messaging at scale [12] - Email is highlighted as a high-ROI channel, particularly when combined with AI-driven segmentation and automation, distinguishing it from social media and paid advertising [10][11]

Core Insights - Klaviyo has been recognized as the best text messaging service for businesses in 2025 by Consumer365, emphasizing its data-driven approach and the importance of SMS marketing in multichannel strategies [1][13] Company Overview - Klaviyo is a B2C-focused CRM platform that integrates SMS, email, and AI-powered insights to enhance customer engagement [2] - The platform allows businesses to adopt a holistic approach to customer engagement, selecting the most effective communication channel based on real-time customer behavior [3] SMS Marketing Significance - SMS remains a reliable communication channel, with 74% of consumers subscribing to SMS from multiple brands and 72% preferring weekly text updates [4] - 65% of consumers have made unplanned purchases due to SMS messages, highlighting the channel's influence on buying decisions [4] Engagement and Effectiveness - Text messages are read within three minutes of receipt, making SMS effective for urgent communications like limited-time offers and appointment reminders [5] - Klaviyo's multichannel orchestration capabilities allow brands to balance SMS with email and push notifications, preventing over-messaging and enhancing customer engagement [7][8] Business Impact - Businesses using Klaviyo for both SMS and email have experienced a 19% increase in gross merchandise value (GMV) growth rate, demonstrating the effectiveness of a multichannel strategy [8] - Klaviyo provides businesses with control, insights, and performance tracking, centralizing customer data from various marketing channels [9] Future of SMS Marketing - SMS marketing is becoming a significant revenue driver for B2C brands, with average revenue per recipient (RPR) for SMS campaigns slightly higher than that of email [11] - The strategic use of SMS, focusing on delivering high-value content without overwhelming subscribers, is crucial for successful marketing [12]

Core Insights - Klaviyo has been recognized as one of the top email marketing platforms of the year by Software Experts, highlighting its AI-powered automation and real-time customer data integration as key strengths [1][2][13] - The platform is designed to enhance customer engagement and maximize revenue for businesses through advanced marketing capabilities [1][3] Company Overview - Klaviyo is a B2C CRM that helps consumer brands unify marketing, analytics, and customer interactions through AI-driven automation and real-time data insights [15] - Founded in 2012, Klaviyo has evolved from a customer database to a comprehensive platform used by over 167,000 brands worldwide [15] Key Features - **Real-Time Data and Segmentation**: Klaviyo processes customer data in real time, enabling businesses to create targeted audience segments for effective marketing [4] - **Automation Flows**: The platform offers pre-built automation workflows for various customer interactions, reducing manual effort and maintaining continuous communication [5][6] - **Multi-Channel Marketing Integration**: Klaviyo integrates with SMS, push notifications, and e-commerce platforms, ensuring a synchronized marketing approach [6] - **AI-Powered Content and Personalization**: The platform utilizes AI for hyper-precise personalization, tailoring emails based on customer behavior [7] - **User-Friendly Template Editor**: Klaviyo features an intuitive drag-and-drop editor for easy email creation [8] - **Data-Driven Reporting**: The platform provides insights to measure campaign effectiveness and track revenue impact [8] Revenue Impact and Business Growth - Businesses using Klaviyo's automated email campaigns report higher revenue per recipient compared to manual efforts, showcasing the platform's effectiveness in driving measurable results [9][10] Pricing Model - Klaviyo's pricing is based on active profiles, starting at $60 per month, with a free tier available for up to 500 emails per month, making it accessible for various business sizes [10] Industry Recognition - Software Experts' ranking of Klaviyo is based on innovation, usability, performance, scalability, and ROI impact, solidifying its position as a top choice for businesses looking to scale marketing operations [13][14]

Company Overview - Klaviyo, Inc. (KVYO) shares increased by 10.3% to $28.94 in the last trading session, following a period of 22.1% loss over the past four weeks, indicating a significant recovery in stock performance [1] - The company is experiencing growth due to an expanding clientele [1] Earnings Expectations - Klaviyo is projected to report quarterly earnings of $0.12 per share, reflecting a year-over-year decline of 7.7% [2] - Revenue expectations stand at $267.13 million, which is a 27.2% increase compared to the same quarter last year [2] Stock Performance Insights - The consensus EPS estimate for Klaviyo has remained unchanged over the last 30 days, suggesting stability in earnings expectations [3] - The stock's price movement is typically influenced by trends in earnings estimate revisions, indicating that future performance should be monitored closely [3] Industry Context - Klaviyo operates within the Zacks Internet - Software industry, where another company, Arteris, Inc. (AIP), also showed a stock increase of 6.8% to $6.61, despite a 19.9% decline over the past month [3] - Arteris has an unchanged EPS estimate of -$0.11 for its upcoming report, which represents a 26.7% improvement from the previous year [4]