Synchronoss Technologies(SNCR)2025-05-06 20:34Revenue and Guidance - First quarter revenue was $42.2 million, with 93.1% of it being recurring revenue[1][6] - The company reaffirms its full-year revenue guidance of between $170 million and $180 million[1][12] - Recurring revenue is expected to be at least 90% of total revenue for the year[1][12] - Net revenues for Q1 2025 were $42,213 thousand, a decrease of 1.75% from $42,965 thousand in Q1 2024[27] Profitability and Margins - Gross margin expanded to 70.4%, while adjusted gross margin rose to 79.0%[1][7] - Adjusted EBITDA increased by 17.0% to $12.7 million, with an adjusted EBITDA margin of 30.2%[1][12] - Adjusted gross margin is projected to be between 78% and 80% for the full year[1][12] - Adjusted gross profit for Q1 2025 was $33,359 thousand, an increase from $32,789 thousand in Q1 2024, resulting in an adjusted gross margin of 79.0%[31] Net Income and Loss - The company reported a net loss of $3.8 million, compared to a net income of $4.5 million in the prior year period[1][7] - Net loss attributable to Synchronoss was $3,817 thousand in Q1 2025, compared to a net income of $2,341 thousand in Q1 2024[32] - Basic earnings per share for Q1 2025 was $(0.37), down from $0.24 in Q1 2024[27] Cash Flow and Expenses - Free cash flow for the first quarter was $(3.0) million, compared to $(3.3) million in the prior year period[1][12] - Free cash flow for Q1 2025 was $(3,017) thousand, compared to $(3,276) thousand in Q1 2024[34] - Cash and cash equivalents decreased to $29,138 thousand as of March 31, 2025, from $33,375 thousand at the end of 2024[30] - Total costs and expenses decreased by 11.5% to $33,984 thousand in Q1 2025 from $38,389 thousand in Q1 2024[27] Operational Performance - Income from operations increased significantly to $8,229 thousand in Q1 2025, compared to $4,576 thousand in Q1 2024[27] - Net cash provided by operating activities was $293 thousand in Q1 2025, down from $527 thousand in Q1 2024[34] Debt and Financing - The company closed a $200 million term loan refinancing, extending debt maturity until 2029[1][4] Stock-Based Compensation - The company reported a significant increase in stock-based compensation expense to $2,129 thousand in Q1 2025 from $1,110 thousand in Q1 2024[32]