Financial Data and Key Metrics Changes - Total revenue grew to $167 million, up 6% year-over-year, with subscription and services revenue both increasing by 6% [36][37] - Annual recurring revenue (ARR) reached $656 million, up over 8%, benefiting from foreign exchange (FX) [37] - Remaining Performance Obligations (RPO) increased by 11%, with current RPO up 7% [37] - Non-GAAP operating margin was 21%, driven by cost benefits and FX [41] - Non-GAAP net income attributable to the company was $36 million, representing a 22% net income margin [41] Business Line Data and Key Metrics Changes - Strategic products accounted for 27% of sales, with strong performance in Invoice to Cash, Transaction Matching, and Intercompany [39] - The number of customers generating over $1 million in ARR increased to 79, up from 71 in the previous quarter [6] Market Data and Key Metrics Changes - The company saw solid growth in its pipeline and SOLEX partnership, with improved deal qualification processes [7][9] - The revenue renewal rate was 94%, up one point year-over-year, with enterprise renewal rate at 96% [38][39] Company Strategy and Development Direction - The company is focusing on enhancing its digital-first marketing approach and expanding its industry-specific solutions [11][10] - The partnership with SAP is a strategic growth driver, with efforts to align offerings and accelerate joint sales [14][9] - The company is exploring opportunities to develop AI-specific solutions as part of its partnership with SAP [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the current macro environment, despite potential risks affecting customer investments [21] - The company is focused on delivering value quickly, which has become a critical competitive advantage [12] - Management noted that while they have not seen impacts on the pipeline or renewals, they remain cautious about future conditions [21] Other Important Information - The company repurchased approximately 920,000 shares for a total of about $46 million during the quarter [42] - The updated full-year 2025 financial guidance reflects potential macro uncertainty, with revenue growth expected between 6% to 8% [43][45] Q&A Session Summary Question: Insights on SOLEX numbers and SAP channel - Management noted robust pipeline growth and enthusiasm around BlackLine's offerings within the SAP community, with expectations for continued growth [49][50] Question: Confidence in margin growth despite investments - Management highlighted a notable beat in margins for Q1, achieved without compromising planned growth investments [54][55] Question: Dynamics of the new platform pricing model - The new pricing model has led to a decline in total users as customers transition to an unlimited model, which is resonating well with larger customers [58][62] Question: Renewal rate trends and macro environment impact - Management indicated that while the overall renewal rate is slightly down, it remains strong in the enterprise space, with efforts to drive multi-year renewals [70][75] Question: Competitive landscape implications of the pricing model - Management stated that while the pricing model may help in closing deals, the primary focus remains on the quality and reliability of BlackLine's offerings [80][82] Question: Pipeline dynamics and macro uncertainty - Management reported solid growth in the pipeline, with no observed decline in size or quality, despite macro uncertainties [86]

Company Overview - BlackLine has a total addressable market (TAM) of $45 billion[8,9,21] - The company's Q1 2025 Annual Recurring Revenue (ARR) reached $656 million, representing an 8% year-over-year growth[9] - BlackLine boasts a Q1 2025 Non-GAAP Operating Margin of 21%[9] - Last Twelve Months (LTM) Free Cash Flow reached $153 million[11] Customer Base and Market Position - BlackLine serves over 4,400 global customers, with over 393,000 users in 100+ countries[11] - The company is trusted by over 60% of the Fortune 500, powering digital finance transformation behind over $42 trillion in global market capitalization[11,34] Financial Performance - Total Revenue for Q1 2025 was $167 million, a 6% year-over-year increase[43] - Total Remaining Performance Obligations (RPO) reached $913 million, an 11% year-over-year increase[43] - The company achieved a Net Income of $36 million with a 22% margin in Q1 2025[43]

EXHIBIT 99.1 BlackLine Announces First Quarter Financial Results LOS ANGELES, May 06, 2025 (GLOBE NEWSWIRE) -- BlackLine, Inc. (Nasdaq: BL), today announced financial results for the first quarter ended March 31, 2025. "BlackLine's first quarter delivered solid results with bookings exceeding expectations, driven by improved execution along with continued margin expansion," said Owen Ryan, Co-CEO of BlackLine. "Our key strategic initiatives continue to advance steadily: Studio360 adoption is growing, our ne ...

Core Insights - BlackLine, Inc. reported solid financial results for the first quarter of 2025, with bookings exceeding expectations and continued margin expansion [2][6]. Financial Performance - Total GAAP revenues reached $166.9 million, marking a 6% increase compared to the first quarter of 2024 [6]. - GAAP operating margin improved to 2.1%, up from 1.1% in the same quarter last year [6]. - Non-GAAP operating margin was reported at 20.9%, compared to 17.0% in the first quarter of 2024 [6]. - GAAP net income attributable to BlackLine was $6.1 million, or $0.10 per diluted share, down from $10.8 million, or $0.17 per diluted share in the first quarter of 2024 [6]. - Non-GAAP net income attributable to BlackLine was $36.3 million, or $0.49 per diluted share, compared to $40.1 million, or $0.54 per diluted share in the first quarter of 2024 [6]. - Billings increased by 9% year-over-year to $159.0 million [6]. - Remaining performance obligation rose to $913.2 million, an 11% increase compared to March 31, 2024 [6]. - Operating cash flow was $46.7 million, down from $50.4 million in the first quarter of 2024 [6]. - Free cash flow decreased to $32.6 million from $43.7 million in the same period last year [6]. Customer Metrics - BlackLine had a total of 4,455 customers as of March 31, 2025 [6]. - The number of users reached 393,892, reflecting customer migrations to the new platform pricing model [6]. - The dollar-based net revenue retention rate was 104% as of March 31, 2025 [6]. Strategic Initiatives - The adoption of the Studio360 platform is growing, and the new pricing strategy is gaining traction [2]. - BlackLine is focusing on industry-specific approaches and advancing its public sector business as planned [2]. - The company is integrating advanced AI capabilities across its product ecosystem to enhance innovation [2]. Future Outlook - For the second quarter of 2025, total GAAP revenue is expected to be in the range of $170 million to $172 million [13]. - Non-GAAP operating margin is anticipated to be between 20.5% and 21.5% [13]. - Non-GAAP net income attributable to BlackLine is projected to be between $38 million and $40 million, or $0.51 to $0.53 per share [13].

BlackLine (BL) is expected to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended March 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on May 6, 2025, might help the stock move higher if these key numbers are better than expectation ...

Customer Acquisition and Retention - The company faces significant risks related to customer acquisition and retention, which could slow growth if new customers are not attracted or existing customers do not renew subscriptions[69]. - The company has observed delays in purchasing decisions from customers since Q2 2022, resulting in a deterioration of near-term demand[76]. - The company has observed new and existing customers halting or decreasing investment in work transformation, negatively impacting sales growth[1]. - The company faces risks related to customer dissatisfaction if its solutions are not implemented or used correctly, which could harm its reputation and financial performance[109][111]. Economic and Market Conditions - Economic uncertainty and unfavorable conditions in the global economy may limit the company's growth potential and negatively impact operating results[75]. - Recent geopolitical developments and macroeconomic trends have led to increased price sensitivity among customers, potentially affecting sales of premium-priced offerings[72]. - The company recognizes that macroeconomic conditions may cause customers to delay purchasing decisions, impacting near-term demand[126]. - The company may face increased costs and longer sales cycles due to larger enterprises representing a greater portion of revenue[124]. Revenue and Financial Performance - Total revenues for the year ended December 31, 2024, increased by 11% to $653,336,000 compared to $589,996,000 in 2023, driven primarily by subscription and support revenue growth of 11%[271]. - Net income attributable to BlackLine, Inc. for 2024 was $161,174,000, a significant increase from $52,833,000 in 2023[270]. - The dollar-based net revenue retention rate decreased to 102% in 2024 from 106% in 2023[271]. - The company incurred a net loss of $29.4 million for the year ended December 31, 2022, with an accumulated deficit of $49.0 million as of December 31, 2024[113]. Cybersecurity Risks - The company faces significant cybersecurity risks, including potential breaches that could lead to loss of customer trust and significant liabilities[82]. - The company has experienced incidents targeting its internal systems, which could disrupt software solutions and result in substantial remediation costs[87]. - The company is increasing investments in cybersecurity measures to counter emerging threats, anticipating substantial additional expenditures[86]. - The integration of AI/ML technologies may expose the company to new cybersecurity risks and legal liabilities, particularly with evolving regulations like the EU AI Act[90]. Competition and Market Position - The company operates in a highly competitive market for accounting and financial software, facing challenges from larger competitors with greater resources and established customer relationships[99][100]. - The company relies on its direct sales force to drive customer acquisition and maximize customer lifetime value, which is critical for revenue growth[102]. - The company has a history of fluctuating quarterly results, which may not meet the expectations of analysts or investors, potentially affecting stock price[115][118]. Operational Challenges - The company has experienced labor shortages and increased competition for engineering talent, which may affect its ability to hire and retain employees[78]. - The company has experienced challenges in hiring and retaining skilled employees, which could impact its growth and operational efficiency[96]. - Recent leadership transitions, including the promotion of the Chief Accounting Officer to Chief Financial Officer, may disrupt business continuity[95]. Compliance and Regulatory Risks - Compliance with evolving global privacy and cybersecurity regulations may lead to significant operational costs and affect the company's ability to attract new customers[145]. - The company faces potential fines of up to EUR 20 million or 4% of global revenue for non-compliance with GDPR regulations[148]. - The EU's Digital Operational Resilience Act (DORA) will require compliance changes by January 2025, potentially increasing operational costs[149]. - The company is subject to U.S. export controls that may delay or prevent sales opportunities in international markets[155]. Investments and Financial Obligations - The company has $230.2 million in 0.00% Convertible Senior Notes due in 2026 and $675.0 million in 1.00% Convertible Senior Notes due in 2029 outstanding[177]. - The company may require additional capital for business growth, which could lead to significant dilution for existing stockholders if raised through equity or convertible debt[186]. - The company has unrecognized tax liabilities of $18.7 million, with a high degree of uncertainty regarding future cash outflows[293]. Strategic Initiatives - The company is focusing on the development and integration of generative AI and machine learning technologies, which could pose reputational risks if not implemented effectively[69]. - The company is investing in research and development, particularly in AI/ML technologies, to enhance its software solutions and improve scalability and security[116]. - The company plans to expand its network of resellers to enhance its mid-size business globally[142]. Financial Health and Cash Flow - Cash and cash equivalents totaled $885.9 million as of December 31, 2024, sufficient to meet working capital needs for at least the next 12 months[286]. - Cash provided by operating activities for the year ended December 31, 2024, was $190.8 million, up from $126.6 million in 2023[301]. - Cash used in financing activities for the year ended December 31, 2024, was $500.1 million, compared to cash provided of $6.1 million in 2023[308].

Financial Data and Key Metrics Changes - Total revenue grew to $169 million, up 9% year-over-year, with subscription revenue also increasing by 9% and service revenue declining by 1% [54] - Annual recurring revenue (ARR) was $641 million, up 6%, with a two-point impact from foreign exchange (FX) revaluation [54][55] - Non-GAAP operating margin was reported at 18%, with a non-GAAP net income of $35 million, representing a 20% net income margin [60] Business Line Data and Key Metrics Changes - Strategic products accounted for a record 33% of sales in the quarter, with invoice to cash achieving a record number of deals [57] - The enterprise revenue renewal rate was strong at 97%, while the mid-market business improved to 92% [17][18] - SolEx performance was below expectations due to deal dynamics, impacting overall business line performance [58] Market Data and Key Metrics Changes - SAP partnership revenue represented 26% of total revenue, indicating significant reliance on this strategic relationship [59] - The company experienced a slowdown in deal velocity, particularly in larger late-stage opportunities, which affected ARR and RPO [11][55] - The customer count at the end of the quarter was 4,443, reflecting moderate impacts on growth due to strategic focus shifts [56] Company Strategy and Development Direction - The company is focused on digital finance transformation, with the launch of the Studio360 platform aimed at enhancing customer engagement and operational efficiency [19][38] - A new pricing model was introduced, which is expected to standardize and simplify pricing while expanding into other areas beyond accounting [16][110] - The company is pursuing FedRAMP certification to serve public sector organizations, with promising early momentum in this area [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the pipeline growth and the quality of opportunities, despite some deal delays [12][90] - The impact of a strong U.S. dollar was noted as a challenge in international markets, but the pipeline is still growing positively [71] - Management highlighted the importance of customer engagement and the increase in customer touchpoints as key drivers for future growth [92] Other Important Information - The company plans to begin a share repurchase program in the first quarter of 2025 [61] - The guidance for Q1 2025 expects total GAAP revenue in the range of $166 million to $168 million, representing 5% to 7% growth [63] - For the full year 2025, total GAAP revenue is expected to be in the range of $699 million to $705 million, indicating 7% to 8% growth [65] Q&A Session Summary Question: How did execution come in versus expectations, and how much is macro expected to continue throughout fiscal year 2025? - Management was generally pleased with execution, noting that delays were more about customer decision timing rather than internal issues. The first weeks of 2025 have shown positive deal closures [70] Question: Can you provide insights on gross margins and their linearity throughout the year? - Slight expansion in gross margins is expected, with some costs related to FedRAMP investment impacting margins [73] Question: What is the expected contribution from the SAP relationship in 2025? - Management believes the building blocks for the SAP relationship are in place for acceleration in 2025, with a focus on cloud migration and co-innovation [82] Question: What are the dynamics of churn and retention for the 2025 guidance? - The company is still addressing customer count churn in the lower market, which may impact growth through 2025 [140]

BlackLine Investor Presentation | 4Q'24 As of February 11th, 2025 Safe Harbor This presentation contains forward-looking statements. These statements may relate to, but are not limited to, expectations of future operating results or financial performance of BlackLine, Inc. ("BlackLine" or the "Company"), the calculation of certain key financial and operating metrics, capital expenditures, introduction of new solutions or products, expansion into new markets, plans for growth and future operations, technolog ...

Financial Results - BlackLine, Inc. announced preliminary financial results for Q4 2024, ending December 31, 2024[4] Leadership Changes - Mark Woodhams, Chief Revenue Officer, will retire effective June 2, 2025, and Stuart Van Houten will join as Chief Commercial Officer on February 17, 2025[6] - Woodhams will receive $80,000 in relocation benefits in addition to severance benefits under the Company's Severance Policy[7]

Summary of BlackLine Investor Day Conference Call Company Overview - **Company**: BlackLine - **Industry**: Financial Software and Digital Finance Transformation Key Points and Arguments Innovation and Strategy - BlackLine aims to inspire, power, and guide successful digital finance transformations, addressing the high failure rate of transformation initiatives, which is reported at 70% [7][8] - The company has worked with over 4,400 customers, gaining insights into the transformation journey and pitfalls [9] - BlackLine's platform is designed to provide future-ready financial operations characterized by accuracy, efficiency, and intelligence [15] Financial Systems Landscape - The complexity of financial systems is highlighted, with many companies relying on spreadsheets and manual processes, leading to inefficiencies [12][14] - BlackLine's platform aims to streamline these processes, reducing the time spent on data manipulation and improving the accuracy of financial reporting [14][32] Platform Development - BlackLine is transitioning from a multi-solution era to a cohesive platform era, integrating various functionalities into a single platform [17] - The platform includes five critical components: integration, orchestration, visualization, blueprint, and control [21][27][29] - A partnership with Snowflake enhances data management capabilities, allowing for scalability and improved AI utilization [33] Market Positioning and Opportunities - BlackLine targets a large market opportunity, with 160,000 potential customers in the U.S. alone, focusing on mid-market and enterprise clients [45][51] - The company emphasizes the importance of customer success and long-term relationships, with 50% of customers generating 75% of annual recurring revenue (ARR) [48] - BlackLine is expanding into government markets, recognizing the potential for efficiency improvements in federal and state agencies [75][79] Pricing Strategy - A new pricing model is being developed, moving away from user-based pricing to transaction-based pricing, which aligns with customer growth and success [85][89] - The pricing will consider transaction levels, company revenue, number of ERPs, and number of entities [86] Customer Engagement and Collaboration - BlackLine is enhancing collaboration between sales and product teams to better communicate value to customers [61][70] - The company is focusing on industry-specific solutions and co-creation of ideas with customers to drive value [64][75] Conclusion - BlackLine is committed to delivering value through its innovative platform, focusing on customer success, and expanding its market presence while adapting its pricing strategy to better align with customer needs [56][88]