Blackbaud(US:BLKB)2025-02-18 13:06Financial Performance & Outlook - Blackbaud's 2025 total revenue guidance is between $1,115 million and $1,125 million, with a midpoint of $1,120 million[67] - The adjusted EBITDA margin for 2025 is projected to be between 34.9% and 35.9%, with a midpoint of 35.4%, representing a 170bps improvement over FY24[67] - The company expects to achieve a Rule of 45 by FY2030, driven by mid-single-digit organic revenue growth and margin expansion[71] - Blackbaud intends to repurchase 3% to 5% of its outstanding stock in 2025[76] - In FY2024, Blackbaud repurchased approximately 10% of its common stock outstanding, and approximately 11% including net share settlement of employee stock compensation[78] Revenue Growth & Composition - Blackbaud's annual recurring revenue is $1.1 billion (Non-GAAP, at mid-point of 2025 financial guidance)[16] - The company achieved a 190bps improvement in Rule of 40 performance in FY24 (150bps improvement at constant currency)[65] - Transactional recurring revenue streams are composed of 55% donation processing, 20% consumer giving, 20% tuition processing, and 5% event-based usage[44] - Transactional recurring revenue has grown from $259 million in 2020 to $354 million in 2024[45] Market & Business Strategy - Blackbaud estimates its total addressable market (TAM) to be over $10 billion[30] - The company's revenue penetration in fundraising, relationship management, and engagement is less than 20%, with a market size of $3.5 billion[30] - Blackbaud's revenue penetration in financial management, grant and award management is less than 10%, with a market size of $3.0 billion[30]