Business
Vertex Announces Third Quarter 2020 Financial Results
KING OF PRUSSIA, Pa., Nov. 10, 2020 (GLOBE NEWSWIRE) -- Vertex, Inc. (Nasdaq: VERX) (“Vertex” or the “Company”), a leading provider of tax technology and
About this update from Vertex, Inc.
[{"type":"text","content":"KING OF PRUSSIA, Pa., Nov. 10, 2020 (GLOBE NEWSWIRE) -- Vertex, Inc. (Nasdaq: VERX) (“Vertex” or the “Company”), a leading provider of tax technology and services, today announced financial results for its third quarter ended September 30, 2020.\n “Vertex delivered strong third quarter results across many of our key metrics,” said David DeStefano, Chief Executive Officer. “As digital transformation continues to accelerate, so does the scale and complexity of our customers’ tax operations supporting these initiatives. We experienced solid revenue growth and accelerated cloud adoption among new and existing customers. Our strong financial results underscore the value that Vertex brings to our customers every day, and the confidence in our solutions to help them meet the challenges ahead. Despite economic uncertainties, we continue to accelerate investments to pursue growth opportunities, while still delivering strong financial performance.” Third Quarter 2020 Financial Results Total revenue of $94.6 million, up 14.8% year-over-year.Software subscription revenue of $79.8 million, up 12.3% year-over-year.Annual Recurring Revenue (“ARR”) of $306.5 million, up 15.4% year-over-year.Net Revenue Retention Rate (“NRR”) was 108%, which was consistent with last quarter and down slightly from 109% from the third quarter of 2019. GAAP operating loss of $50.0 million, compared to GAAP operating income of $12.3 million for the same period last year. Non-GAAP operating income of $19.8 million, compared to non-GAAP operating income of $17.3 million for the same period last year.GAAP net loss was $21.0 million, compared to a GAAP net income of $11.9 million for the same period last year. GAAP net loss per basic and diluted Class A and Class B share was $(0.15), compared to a GAAP net income per basic and diluted Class A and Class B share of $0.10 per share, respectively for the same period last year. Non-GAAP net income was $21.6 million, compared to a Non-GAAP net income of $16.9 million for the same period last year. Non-GAAP net income per diluted Class A and Class B share was $0.15 as compared to $0.14 for the same period last year.Adjusted EBITDA of $22.5 million, up 14.7% year-over-year. Adjusted EBITDA margin of 23.8% was consistent on a year-over-year basis.Cash flow from operations for the third quarter of 2020 was $(0.7) million as compa...