Business
Asure Software (NASDAQ: ASUR) Surpasses Expectations with Record-Breaking Q4 and FY 22 Financial Results, Raises Guidance for 2023
--News Direct--The fourth quarter of 2022 earnings season is winding down with 94% of S&P 500 (NYSE: SPY) companies having already reported results. Overall,
About this update from Asure Software Inc
[{"type":"text","content":"--News Direct--The fourth quarter of 2022 earnings season is winding down with 94% of S&P 500 (NYSE: SPY) companies having already reported results. Overall, Q4 2022 was slightly bullish when considering 68% of S&P 500 companies reported a positive EPS surprise and 66% of components reported a positive revenue surprise. Unfortunately, the revenue and income surprises could largely be chalked up to low expectations.Earnings growth for the fourth quarter 2022 came in at a combined -4.8% for the S&P 500. According to Factset, this represents the first time the S&P 500 has reported a year-over-year decline in earnings growth since the third quarter of 2020 (-5.7%).To make matters worse, earnings revisions from December 31, 2022, estimated earnings growth of -3.3%. This means, on an overall basis for the S&P 500, companies saw worse earnings growth declines than were estimated. The first quarter of 2023 doesn’t look to be much better for the index, as 76 companies in the S&P 500 have issued negative EPS guidance, compared to only 21 components issuing positive guidance.Not all Q4 2022 earnings have been a disappointment, however. Asure Software (NASDAQ: ASUR) just released record Q4 and full-year 2022 financial results that blew the top off of expectations. With these latest results, Asure’s increases its consecutive earnings estimate beat streak to the last ten quarterly periods.ASUR: Breaking Down the Record Q4/FY 22 ResultsAsure Software, a cloud-based human capital management (HCM) services provider to small and medium businesses (SMBs), released its Q4 and full-year 2022 financial results after the market close on February 27, 2023.Q4 2022 ResultsFor the fourth quarter, the HCM provider generated record quarterly revenues of $29.3 million, which represents an impressive growth of 39% from Q4 2021. Recurring revenues topped $24.1 million, up 25% year-over-year. EBITDA for the quarter rose $3.5 million y/y to $5 million. Adjusted EBITDA rose $3.7 million y/y to $6 million.For context, Asure had previously issued guidance for the fourth quarter estimating a revenue range between $23.5 million to $24 million and an adjusted EBITDA range between $3 million and $3.5 million. If we take the higher end of the Q4 guidance into account, Asure’s actual Q4 2022 revenue came in 22% higher than its $24 million estimate. Meanwhile, adjusted EB...