AvePoint shares tumble as Q4 earnings miss overshadows revenue beat

Published 27/02/2025, 23:00
AvePoint shares tumble as Q4 earnings miss overshadows revenue beat

JERSEY CITY, N.J. - AvePoint, Inc. (NASDAQ:AVPT) shares plunged 13.6% after the data security and governance firm reported mixed fourth-quarter results, with earnings falling short of analyst expectations despite beating on revenue.

The company posted a loss of -$0.09 per share for Q4, missing the analyst estimate of $0.05 by $0.14. Revenue came in at $89.18 million, surpassing the consensus estimate of $87.87 million and representing a 20% increase YoY.

While AvePoint’s top-line growth was solid, the significant earnings miss appears to have spooked investors, leading to the sharp stock decline. The company’s SaaS revenue showed particular strength, jumping 43% YoY to $64.8 million.

"Our fourth quarter was an outstanding close to 2024, and we are pleased with the team’s steady focus and broad-based execution," said Dr. Tianyi Jiang (TJ), CEO and Co-Founder of AvePoint.

For the full year 2024, AvePoint reported total revenue of $330.5 million, up 22% YoY. The company’s annual recurring revenue (ARR) reached $327.0 million, growing 24% YoY or 25% when adjusted for foreign exchange impacts.

Looking ahead, AvePoint provided guidance for Q1 2025, projecting revenue between $87.8 million and $89.8 million, representing 18% to 21% YoY growth. For the full year 2025, the company expects total revenue of $380.0 million to $388.0 million, implying 15% to 17% YoY growth.

Despite the positive revenue outlook, the market’s negative reaction suggests investors may be concerned about AvePoint’s profitability and earnings trajectory going forward.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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