AvePoint(AVPT) - 2025 Q3 - Quarterly Results

Revenue Performance - Third quarter SaaS revenue reached $84.0 million, reflecting a 38% year-over-year growth, and 35% on a constant currency basis[1] - Total revenue for the third quarter was $109.7 million, representing a 24% year-over-year growth, and 21% on a constant currency basis[1] - Total Annual Recurring Revenue (ARR) as of September 30, 2025, was $390.0 million, indicating a 26% year-over-year growth[1] - Total revenue for the three months ended September 30, 2025, was $109.728 million, a 23.5% increase from $88.804 million in the same period of 2024[17] - SaaS revenue reached $83.982 million, up 37.9% from $60.866 million year-over-year[17] Profitability Metrics - GAAP gross profit for the third quarter was $81.6 million, with a gross margin of 74.4%, compared to 76.1% in the same quarter of 2024[5] - Non-GAAP operating income for the third quarter was $24.1 million, up from $17.8 million in the third quarter of 2024, with a non-GAAP operating margin of 22.0%[5] - The company reported a gross profit of $81.583 million for the three months ended September 30, 2025, compared to $67.583 million in the same period of 2024, representing a 20.7% increase[17] - GAAP operating income for Q3 2025 was $8,129 million, up from $7,652 million in Q3 2024, representing a growth of 6.2%[22] - Non-GAAP operating income for the nine months ended September 30, 2025, reached $56,298 million, compared to $33,184 million for the same period in 2024, an increase of 69.5%[22] - GAAP gross profit for Q3 2025 was $81,583 million, compared to $67,583 million in Q3 2024, reflecting a year-over-year increase of 20.7%[22] - Non-GAAP gross profit for the nine months ended September 30, 2025, was $228,529 million, up from $182,932 million in 2024, indicating a growth of 24.9%[22] Expenses Overview - Operating expenses increased to $73.454 million for the three months ended September 30, 2025, from $59.931 million in the same period of 2024, reflecting a 22.5% rise[17] - The company reported a significant increase in sales and marketing expenses, which rose to $35.593 million for the three months ended September 30, 2025, compared to $30.050 million in the same period of 2024[17] - GAAP sales and marketing expenses for Q3 2025 were $35,593 million, an increase from $30,050 million in Q3 2024, representing a rise of 18.4%[22] - GAAP general and administrative expenses for Q3 2025 were $23,925 million, compared to $17,043 million in Q3 2024, showing a growth of 40.4%[22] - Non-GAAP research and development expenses for Q3 2025 were $11,861 million, up from $10,668 million in Q3 2024, reflecting an increase of 11.1%[22] Retention Rates - The dollar-based gross retention rate was 88%, while the dollar-based net retention rate was 110%[5] Strategic Initiatives - The company announced new data protection solutions for platforms including Monday.com, Docusign, and Google Virtual Machines[5] - AvePoint launched an enhanced points-based Global Partner Program aimed at accelerating growth through partner engagement[5] - The company raised its full-year guidance for revenue and non-GAAP operating income based on third quarter outperformance[5] - AvePoint is now dual-listed on Nasdaq and the Singapore Exchange, becoming the first B2B SaaS stock on the SGX-ST[5] Cash and Assets - Cash and cash equivalents at the end of the period were $471.640 million, up from $290.735 million at the end of December 31, 2024[19] - Total assets increased to $743.515 million as of September 30, 2025, from $519.055 million as of December 31, 2024[19] Share Metrics - The weighted average shares outstanding for diluted earnings per share was 232,897 thousand for the three months ended September 30, 2025, compared to 203,859 thousand in the same period of 2024[17] Cash Flow - Net cash provided by operating activities was $55.598 million for the nine months ended September 30, 2025, slightly down from $56.134 million in the same period of 2024[20] Operating Margins - Non-GAAP operating margin improved to 22.0% in Q3 2025 from 20.1% in Q3 2024[22] - Non-GAAP sales and marketing expenses as a percentage of revenue decreased to 29.9% in Q3 2025 from 31.2% in Q3 2024[22] - Non-GAAP general and administrative expenses as a percentage of revenue decreased to 12.4% in Q3 2025 from 13.6% in Q3 2024[22]