EverCommerce Q2 2025 slides: Revenue beats guidance as multi-solution strategy gains traction

Introduction & Market Context

EverCommerce Inc. (NASDAQ:EVCM) reported second-quarter 2025 results that exceeded guidance, with revenue growth accelerating and margins expanding as the company’s multi-solution strategy continues to gain momentum. The service economy software provider saw its stock close at $10.02 on August 6, 2025, up 2.5% for the day, reflecting positive investor sentiment around the quarterly performance.

The company, which serves over 725,000 global customers, has maintained its focus on expanding its product offerings and integrating solutions across its platform, building on the strategic initiatives outlined in its previous earnings call where CEO Eric Riemer emphasized the importance of AI integration and product innovation.

Quarterly Performance Highlights

EverCommerce reported Q2 2025 revenue of $148.0 million, representing a 5.3% year-over-year increase on a reported basis and a more robust 7.4% growth on a pro forma basis when excluding divested fitness assets. This performance exceeded the top end of the company’s guidance range and continued the upward trajectory seen in recent quarters.

As shown in the following chart of quarterly revenue growth:

Adjusted EBITDA reached $45.0 million with a 30.4% margin, expanding 230 basis points year-over-year and also beating the top end of guidance. This margin improvement demonstrates the company’s ability to drive operational efficiencies while continuing to invest in growth initiatives.

The following chart illustrates the consistent growth in Adjusted EBITDA over the past five quarters:

EverCommerce’s payments business continued to show solid performance, with payments revenue (excluding fitness) growing 6.8% year-over-year. This growth was supported by a corresponding increase in Total (EPA:TTEF) Payments Volume (TPV), which reached $12.9 billion in Q2 2025, up 7% from $12.1 billion in the same period last year.

The company’s payments volume growth is illustrated in this chart:

Strategic Growth Initiatives

A key pillar of EverCommerce’s growth strategy is increasing the adoption of multiple solutions among its customer base. The company made significant progress on this front in Q2, with 112,000 customers actively utilizing more than one solution, while 261,000 customers are now enabled for multiple solutions, representing 32% year-over-year growth.

The following chart demonstrates this strategic progress:

This multi-solution approach is critical to EverCommerce’s long-term growth strategy, as it increases customer retention and lifetime value. As noted in the previous earnings call, Josh McCarter, CEO of EverPro, emphasized that "the more products that a customer buys from us, that’s going to retain them longer."

The company’s overall scale and reach is illustrated in this snapshot of key metrics:

Financial Position and Outlook

EverCommerce’s financial position remains strong, with $151 million in cash and cash equivalents as of June 30, 2025. The company successfully repriced and extended both its Term Loan and Revolving Credit Facility during the quarter, resulting in a 25 basis point interest rate reduction that is expected to generate approximately $1.3 million in annual interest savings.

The company also continued its share repurchase program, buying back 2.0 million shares for $20.6 million during the second quarter. As of June 30, 2025, $51.1 million remained of the $250 million share repurchase authorization.

While Levered Free Cash Flow (LFCF) saw a slight 0.6% year-over-year decline to $18.9 million in Q2 2025, this was primarily due to a $3.3 million increase in software capitalization as part of planned 2025 investments. On a last twelve months (LTM) basis, LFCF reached $110.8 million, representing a 15.7% margin.

The following chart shows the LFCF and Adjusted Unlevered Free Cash Flow (aUFCF) trends:

For the third quarter of 2025, EverCommerce provided revenue guidance of $146.5-149.5 million and Adjusted EBITDA guidance of $41-43 million. For the full year 2025, the company expects revenue between $581-601 million and Adjusted EBITDA between $171-177 million.

This guidance is summarized in the following table:

Forward-Looking Statements

EverCommerce’s Q2 2025 results demonstrate continued execution of its growth strategy centered around increasing multi-solution adoption and expanding its payments business. The company’s focus on operational efficiency has yielded margin improvements, while strategic financial management through debt refinancing and share repurchases has strengthened its balance sheet.

Looking ahead, EverCommerce appears well-positioned to continue its growth trajectory, supported by its large global customer base and expanding product offerings. However, the company still faces challenges including macroeconomic uncertainties and increasing competition in the service economy software sector.

With a current market capitalization of approximately $1.89 billion and a stock price that has traded between $8.10 and $12.34 over the past 52 weeks, investors will be watching closely to see if EverCommerce can maintain its momentum in the second half of 2025 and deliver on its full-year guidance.

Full presentation:

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