Business
Sprout Social Announces First Quarter 2023 Financial Results Above Guidance Range
CHICAGO, May 02, 2023 (GLOBE NEWSWIRE) -- Sprout Social, Inc. (“Sprout Social”, the “Company”) (Nasdaq: SPT), an industry-leading provider of cloud-based
About this update from Sprout Social, Inc
[{"type":"text","content":"CHICAGO, May 02, 2023 (GLOBE NEWSWIRE) -- Sprout Social, Inc. (“Sprout Social”, the “Company”) (Nasdaq: SPT), an industry-leading provider of cloud-based social media management software, today announced financial results for its first quarter ended March 31, 2023. “We are proud to deliver accelerating growth in key leading indicators, alongside record free cash flow,” said Justyn Howard, Sprout Social’s CEO and co-founder. “Customers that spend >$2,000 annually with us now account for greater than 95% of our ARR and delivered 35% ARR growth in Q1, building a strong foundation for accelerating ARR growth this year. Our pricing changes are performing well, our partnerships continue to strengthen and our multi-year investments in AI & automation each provide confidence into durable and efficient growth.” First Quarter 2023 Financial Highlights Revenue Revenue was $75.2 million, up 31% compared to the first quarter of 2022.ARR was $309.9 million, up 30% compared to the first quarter of 2022.During Q1, we prioritized customer success and growth resources behind our highest tier customers, which we believe accelerated churn from non-core customers contributing $2,000 in ARR grew >35% year-over-year and now represents >95% of total ARR. Operating Loss GAAP operating loss was ($11.9) million, compared to ($9.6) million in the first quarter of 2022.Non-GAAP operating income was $1.7 million, compared to a Non-GAAP operating loss of ($1.2) million in the first quarter of 2022. Net Loss GAAP net loss was ($10.3) million, compared to ($9.8) million in the first quarter of 2022.Non-GAAP net income was $3.4 million, compared to a Non-GAAP net loss of ($1.4) million in the first quarter of 2022.GAAP net loss per share was ($0.19) based on 55.2 million weighted-average shares of common stock outstanding, compared to ($0.18) based on 54.3 million weighted-average shares of common stock outstanding in the first quarter of 2022.Non-GAAP net income per share was $0.06 based on 55.2 million weighted-average shares of common stock outstanding, compared to Non-GAAP net loss per share of ($0.03) based on 54.3 million weighted-average shares of common stock outstanding in the first quarter of 2022. Cash Cash and equivalents and marketable securities totaled $187.2 million as of March 31, 2023, up from $185.8 million as of December 31, 2022.Net cash gen...