Kaltura(US:KLTR)2025-11-10 21:11Revenue Performance - Revenue for Q3 2025 was $43.9 million, a decrease of 1% compared to $44.3 million in Q3 2024[3] - Subscription Revenue for Q3 2025 was $42.0 million, almost flat compared to $42.1 million in Q3 2024[3] - Total revenue for the three months ended September 30, 2025, was $43,866,000, compared to $44,295,000 for the same period in 2024, showing a slight decline[25] - Subscription revenue for the nine months ended September 30, 2025, was $129,266,000, up from $124,267,000 in the same period of 2024[25] Profitability Metrics - GAAP Gross profit for Q3 2025 was $30.7 million, with a gross margin of 70%, up from a gross margin of 67% in Q3 2024[3] - Non-GAAP Operating profit was $3.1 million for Q3 2025, compared to a non-GAAP operating profit of $1.3 million in Q3 2024[3] - Adjusted EBITDA for Q3 2025 was $4.2 million, an increase from $2.4 million in Q3 2024[7] - Gross profit for the three months ended September 30, 2025, was $30,727,000, an increase from $29,541,000 in the same period of 2024[28] - The company reported a net loss of $2,628,000 for the three months ended September 30, 2025, compared to a net loss of $3,610,000 for the same period in 2024[25] - Net loss for the nine months ended September 30, 2025, was $11,497,000, a decrease from $24,710,000 in the same period of 2024[29] - GAAP gross profit for the nine months ended September 30, 2025, was $94,683,000, compared to $86,825,000 in 2024, reflecting a 9.5% increase[30] - Non-GAAP gross profit for the nine months ended September 30, 2025, was $95,140,000, up from $87,952,000 in 2024, indicating an 8.5% growth[30] - Adjusted EBITDA for the nine months ended September 30, 2025, was $12,356,000, significantly higher than $4,615,000 in 2024[31] Future Expectations - For Q4 2025, Kaltura expects Subscription Revenue between $41.6 million and $42.3 million[7] - Remaining Performance Obligations represent contracted future revenue not yet delivered, with an expectation to recognize 60% as revenue over the next 12 months[23] Shareholder Actions - Repurchased 14.4 million shares of common stock for approximately $16.6 million, executed at a 25% discount to the 30-day VWAP[7] Assets and Liabilities - As of September 30, 2025, total assets amounted to $172,624,000, a decrease from $181,305,000 as of December 31, 2024[24] - The company’s total current liabilities as of September 30, 2025, were $100,730,000, slightly down from $101,663,000 as of December 31, 2024[24] Cash Flow - Cash provided by operating activities for the nine months ended September 30, 2025, was $10,893,000, an increase from $7,920,000 in 2024[29] - Cash used in financing activities for the nine months ended September 30, 2025, was $11,855,000, compared to $3,865,000 in 2024[29] - Cash, cash equivalents, and restricted cash at the end of the period were $41,613,000, up from $36,940,000 at the end of September 2024[29] Customer Metrics - Annualized Recurring Revenue (ARR) for Q3 2025 was $169.1 million, a slight increase from $168.9 million in Q3 2024[3] - Annualized Recurring Revenue as of September 30, 2025, was $169,094,000, slightly up from $168,879,000 in 2024[32] - Net Dollar Retention Rate for the three months ended September 30, 2025, was 97%, down from 101% in 2024[33] - The Net Dollar Retention Rate measures the success in retaining and growing recurring revenue from existing customers, calculated as the recognized recurring revenue from a set of customers compared to the same period in the prior year[22] Acquisitions - Signed a definitive agreement to acquire eSelf.ai, expected to close in Q4 2025[7] Performance Obligations - Remaining Performance Obligations as of September 30, 2025, were $159,330,000, down from $166,194,000 in 2024[32]