Slide 1: Q1 2025 Earnings Presentation
Q1 2025 Earnings Presentation (NASDAQ: NICE)
Slide 2: Forward Looking Statements Disclaimer
Forward Looking Statements Disclaimer This presentation contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. In some cases, forward- looking statements may be identified by words such as “believe”, “expect”, “seek”, “may”, “will”, “inte
Slide 3: The Cloud Leader Powering AI in Three Large Specialized Markets
>3,300 >8,700 R&D Professionals $2.8B Employees Total Revenue* >150 $2.0B Countries Cloud Revenue* >85% Fortune $2.5B Recurring 100 Customers Revenue* 25K THE Cloud Leader Powering AI in $863M Customers Cash from Three Large Specialized Markets Operations* *Financial figures for last 12 months ended
Slide 4: Customer Experience, Financial Crime & Compliance, Public Safety & Justice
CUSTOMER FINANCIAL CRIME PUBLIC SAFETY EXPERIENCE & COMPLIANCE & JUSTICE This is CREATING OUTSMARTING DRIVING Extraordinary Financial Crime Digital Policing Customer with Intelligent Transformation Experiences Solutions 4
Slide 5: Our Strategic Pillars
Analytics Our Digital STRATEGIC Cloud PILLARS AI & Automation 5
Slide 6: Financial Overview
FINANCIAL OVERVIEW Quarterly Results 6
Slide 7: Q1-25 Financial Highlights
Q1-25 Financial Highlights Q1 2025 Results Quarterly Increase Results Y/Y Total Revenue $700M 6% Cloud Revenue $526M 12% Non-GAAP Operating Income $214M 7% Non-GAAP Operating Margin 30.5% 20 bps Non-GAAP EPS $2.87 11% Cash from Operations $285M 12% 7
Slide 8: Revenue Breakdown by Business Segment
Revenue Breakdown by Business Segment Quarterly Revenue Annual Revenue $2,735M $722M $453M $2,378M $690M $700M $659M $664M $2,181M $623M $125M $403M $108M $601M $111M $109M $569M $572M $581M $108M $412M $555M $101M $527M $531M $103M $100M $100M $102M $103M $106M $102M $2,282M $578M $597M $592M $1,97
Slide 9: Revenue Breakdown by Business Model
Revenue Breakdown by Business Model Quarterly Revenue Annual Revenue $722M $2,735M $690M $700M $38M $155M $659M $664M $34M $40M $623M $42M $35M $2,378M $601M $581M $32M $150M $154M $569M $572M $140M $2,181M $596M $555M $38M $150M $40M $527M $531M $49M $44M $149M $148M $236M $59M $52M $162M $76M $641
Slide 10: Recurring Revenue as a Percent of Total Revenue
Recurring Revenue as a Percent of Total Revenue Quarterly Annual 89% 89% 89% 90% 89% 87% 88% 88% 87% 85% 85% 86% 83% 82% 82% 79% 15% 15% 17% 16% 17% 16% 20% 19% 20% 22% 21% 20% 24% 22% 23% 23% 73% 72% 74% 75% 73% 69% 71% 64% 66% 67% 67% 60% 63% 59% 56% 59% Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q
Slide 11: Revenue Breakdown by Geographic Region – Q1 2025
Revenue Breakdown by Geographic Region – Q1 2025 84% 11% AMERICAS EMEA $590M, +6% YoY $74M, +10% YoY 5% APAC $36M, +9% YoY 11
Slide 12: Healthy Gross Margins (Non-GAAP)
Healthy Gross Margins (Non-GAAP) 68.6% 70.1% 70.4% 70.5% 70.0% 70.3% 70.4% 71.1% 69.8% 70.2% 69.7% 70.6% 69.4% 70.0% 70.5% 70.1% Cloud GM Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 2022 2023 2024 72.2% 74.5% 74.0% 73.3% 71.8% 72.2% 73.6% 72.0% 70.6% 70.2% 71.9% 70.
Slide 13: Non-GAAP Operating Expenses as a Percent of Total Revenue
Non-GAAP Operating Expenses as a Percent of Total Revenue Quarterly Annual 44.8% 44.3% 44.8% 43.9% 44.4% 43.1% 42.4% 42.3% 41.7% 41.9% 40.6% 40.3% 40.0% 39.1% 39.9% 39.4% 7.7% 7.3% 8.0% 7.9% 8.6% 7.7% 7.1% 7.5% 7.5% 7.7% 6.2% 8.0% 7.4% 7.1% 7.3% 7.6% 24.2% 24.6% 24.8% 24.0% 22.6% 23.2% 23.1% 21.4% 2
Slide 14: Strong Operating Leverage Evident in Growing Profitability
Strong Operating Leverage Evident in Growing Profitability Non-GAAP 40% Operating Margin $221M $227M $214M $240 40% $850M 38% $200M $202M $220 $900 $880 $860 36% $184M $187M $200 38% $704M $840 $820 $800 $780 $163M $163M $170M $760 $740 $149M $154M $159M $180 36% $625M $720 $700 34% 32.0% 31.5% $160
Slide 15: Non-GAAP Net Income and EPS Reflect NICE's Financial Strength
Non-GAAP Net Income and EPS Reflect NICE’s Financial Strength 25% YoY Growth Non-GAAP Net Income 8% YoY Growth $728M $196M $583M $187M $185M $172M $174M $507M $151M $155M $135M $136M $142M $128M $120M $123M Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 2022 2023 2024
Slide 16: Growing Cash From Operations and Free Cash Flow
Growing Cash From Operations and Free Cash Flow LTM LTM LTM Free Cash Flow and Margin $M Q1-25 Q1-24 $1,000.0 30% 28% 27% $900.0 25% 25% Operating Cash Flow 863.2 620.9 $769M 25% $800.0 22% $733M $700.0 $668M $639M 20% Capital expenditure of property and equipment (28.1) (26.6) $600.0 $537M $500.0 1
Slide 17: Increasing Share Repurchases
Increasing Share Repurchases Quarterly Annual $369M $252M $288M $146M $145M $95M $90M $86M $65M $65M $69M $64M $42M $34M $22M $25M Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 2022 2023 2024 17
Slide 18: Industry Leading Strong Net Cash Position
Industry Leading Strong Net Cash Position* Quarterly Annual $1,141M $1,163M$1,151M $1,163M $1,119M $1,107M $1,068M $1,029M $1,045M $1,046M $1,029M $950M $920M $892M $895M $863M $863M 12/31/2022 12/31/2023 12/31/2024 * Net cash and investments = cash, cash equivalents and short-term investments less
Slide 19: Outlook (Non-GAAP)
Outlook* (Non-GAAP) Q2 2025 FY 2025 Revenue ($M) 709 – 719 2,918 – 2,938 Revenue Growth 7% 7% YoY at Midpoint EPS ($) 2.93 – 3.03 12.28 – 12.48 EPS Growth 13% 11% YoY at Midpoint *The outlook is provided as of May 15, 2025. There is no guarantee that the Company will change or update these figures i
Slide 20: Thank You
Thank You NICE --)
Slide 21: Appendix
Appendix 21
Slide 22: GAAP and Non-GAAP Income Statement
GAAP and Non-GAAP Income Statement USD in thousands (except EPS) Quarter ended March 31, 2025 2024 GAAP revenues $ 700,192 $ 659,309 Non-GAAP revenues $ 700,192 $ 659,309 GAAP cost of revenue $ 232,080 $ 222,669 Amortization of acquired intangible assets on cost of cloud (15,403) (25,367) Amortizati
Slide 23: GAAP and Non-GAAP Income Statement (cont.)
GAAP and Non-GAAP Income Statement (cont.) USD in thousands (except EPS) Quarter ended March 31, 2025 2024 GAAP taxes on income $ 34,729 $ 29,075 Tax adjustments re non-GAAP adjustments 10,093 13,816 Non-GAAP taxes on income $ 44,822 $ 42,891 GAAP net income $ 129,290 $ 106,373 Amortization of acqui
Slide 24: GAAP and Non-GAAP Income Statement (cont.)
GAAP and Non-GAAP Income Statement (cont.) USD in thousands (1) Share-based compensation Quarter ended March 31, 2025 2024 Cost of cloud revenue $ 3,178 $ 2,940 Cost of services revenue 2,455 2,378 Cost of product revenue 22 30 Research and development 4,693 7,813 Sales and marketing 15,414 13,529 G
Slide 25: Non-GAAP EBITDA Reconciliation
Non-GAAP EBITDA Reconciliation USD in thousands Quarter ended March 31, 2025 2024 Unaudited Unaudited GAAP net income $ 129,290 $ 106,373 Non-GAAP adjustments: Depreciation and amortization 43,441 51,760 Share-based compensation 43,337 44,404 Financial and other income, net (15,850) (14,009) Acquisi
Slide 26: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation USD in thousands Quarter ended March 31, 2025 2024 Unaudited Unaudited Free cash flow (a) Net cash provided by operating activities $ 285,071 $ 254,490 Purchase of property and equipment (3,667) (10,521) Capitalization of internal use software costs (16,766) (15,936) Fr
Slide 27: Condensed Consolidated Balance Sheet
Condensed Consolidated Balance Sheet USD in thousands March 31, December 31, March 31, December 31, 2025 2024 2025 2024 Unaudited Audited Unaudited Audited ASSETS TOTAL ASSETS $ 5,231,927 $ 5,295,906 CURRENT ASSETS: LIABILITIES AND SHAREHOLDERS' EQUITY Cash and cash equivalents 469,532 $ 481,712 Sho