Business
Sprout Social Announces Fourth Quarter 2022 Financial Results
Delivers record net new ARRExpects accelerating ARR growth in 2023 CHICAGO, Feb. 21, 2023 (GLOBE NEWSWIRE) -- Sprout Social, Inc. (“Sprout Social”, the
About this update from Sprout Social, Inc
[{"type":"text","content":"Delivers record net new ARRExpects accelerating ARR growth in 2023 CHICAGO, Feb. 21, 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 fourth quarter ended December 31, 2022. “We are pleased with another exceptional quarter, anchored by record net new ARR, which we believe sets the foundation for accelerating ARR growth in 2023,” said Justyn Howard, Sprout Social’s CEO and co-founder. “We achieved multiple new high water marks in both new business and expansion, led by outstanding new business momentum in the enterprise. Our pricing changes are performing well, our partnerships are strengthening and social has never been more critical to our customers.” Fourth Quarter 2022 Financial Highlights Revenue Revenue was $69.7 million, up 31% compared to the fourth quarter of 2021.Subscription revenue was $69.2 million, up 31% year-over-year.Services revenue was $0.5 million. Partnership demand was materially stronger than expected. We offered free implementation and onboarding for the 175 Social Studio customers that transitioned to Sprout Social during the fourth quarter of 2022, which contributed to a $0.8M to $1.2M shortfall in services revenue relative to our prior plan.ARR was $296.6 million, up 32% compared to the end of 2021. Operating Loss GAAP operating loss was ($13.1) million, compared to ($9.7) million in the fourth quarter of 2021.Non-GAAP operating income was $0.6 million, compared to a Non-GAAP operating loss of ($2.6) million in the fourth quarter of 2021. Net Loss GAAP net loss was ($11.9) million, compared to ($9.9) million in the fourth quarter of 2021.Non-GAAP net income was $1.8 million, compared to a Non-GAAP net loss of ($2.7) million in the fourth quarter of 2021.GAAP net loss per share was ($0.22) based on 54.9 million weighted-average shares of common stock outstanding, compared to ($0.18) based on 54.1 million weighted-average shares of common stock outstanding in the fourth quarter of 2021.Non-GAAP net income per share was $0.03 based on 55.2 million weighted-average shares of common stock outstanding, compared to Non-GAAP net loss per share of ($0.05) based on 54.1 million weighted-average shares of common stock outstanding in the fourth quarter o...