PAR(PAR)2024-11-08 12:30Revenue Growth - Annual Recurring Revenue (ARR) increased to $248.1 million, representing a total growth of 93.3% year-over-year, with organic growth of 24.8% from $128.3 million in Q3 '23[1] - Quarterly subscription service revenues rose by 91.0% compared to Q3 '23[1] - Revenue for Q3 2024 was $96.8 million, a 40.8% increase from $68.7 million in Q3 2023[3] - Total revenues for the three months ended September 30, 2024, were $96,754,000, a 40.7% increase from $68,701,000 for the same period in 2023[19] - Subscription service revenue increased to $59,909,000, up 91.1% from $31,363,000 year-over-year[19] Profitability and Loss - The company reported its first quarter of positive adjusted EBITDA at $2.4 million, improving by $9.0 million from a loss of $6.6 million in Q3 '23[3] - The company reported a net loss from continuing operations of $(20.7) million in Q3 2024, compared to $(19.2) million in Q3 2023[3] - Operating loss for the three months ended September 30, 2024, was $(15,194,000), slightly improved from $(17,047,000) in the prior year[19] - Net loss from continuing operations for the three months ended September 30, 2024, was $(20,664,000), compared to $(19,234,000) for the same period in 2023[19] - The company reported a net income from discontinued operations of $832,000 for the three months ended September 30, 2024, down from $3,718,000 in the prior year[19] Margins and Expenses - Subscription service gross margin percentage improved to 55.3%, up from 50.6% in Q3 '23[3] - Gross margin for the three months ended September 30, 2024, was $43,031,000, compared to $25,134,000 for the same period in 2023, reflecting a significant improvement[19] - Total operating expenses for the three months ended September 30, 2024, were $58,225,000, an increase from $42,181,000 in the same period of 2023[19] - Research and development expenses increased to $17,821,000 for the three months ended September 30, 2024, compared to $14,660,000 in the prior year, indicating a focus on innovation[19] - Non-GAAP subscription service gross margin percentage is adjusted to exclude amortization from acquired and internally developed software, stock-based compensation, and severance costs[22] Assets and Acquisitions - PAR Technology's total assets increased to $1,299.3 million as of September 30, 2024, up from $802.6 million at the end of 2023[16] - The company completed the acquisition of TASK Group Holdings Limited, enhancing its global foodservice transaction platform capabilities[1] Shareholder Metrics - The company’s diluted net loss per share from continuing operations was $(0.58) for the three months ended September 30, 2024, compared to $(0.70) in the same period of 2023[19] - Non-GAAP diluted net loss per share for 2024 was $(0.09), compared to $(0.35) in 2023[27] - Diluted net income (loss) per share for the three months ended September 30, 2024, was $(0.56), consistent with $(0.56) in the same period of 2023[27] Other Financial Metrics - Adjusted EBITDA for the nine months ended September 30, 2024, was $(12,126,000), an improvement from $(31,025,000) in the same period of 2023[26] - Total interest expense for the three months ended September 30, 2024, was $3,417,000, up from $1,750,000 in the same period of 2023[26] - Stock-based compensation for the nine months ended September 30, 2024, was $16,583,000, compared to $10,544,000 in the same period of 2023[26] - Depreciation and amortization for the three months ended September 30, 2024, was $10,575,000, compared to $6,549,000 in the same period of 2023[26] - Transaction costs for the nine months ended September 30, 2024, totaled $6,103,000, with no transaction costs reported in the same period of 2023[26]