Why did AMPL's EPS surprise increase each quarter in 2024?
4/9/2025 11:47am
Amplitude's EPS surprise increased each quarter in 2024 due to several key factors:
1. **Revenue Growth**: Amplitude experienced a year-over-year increase in revenue, with $75.22 million reported for the quarter ended September 2024, a 6.5% increase. This growth in revenue contributed to the improvement in EPS surprise.
2. **Customer Growth**: The number of paying customers rose by 41% year-over-year, reaching 3,486, with significant growth in customers contributing $100,000 or more in ARR. This increase in customer base and average revenue per customer contributed to the positive EPS surprise.
3. **Strategic Initiatives**: Amplitude's strategic moves, such as the launch of 'Amplitude Made Easy' and the acquisition of Command AI, are likely to have positively impacted revenue and profitability over time. These initiatives may have enhanced the company's operational efficiency and market position, leading to improved financial performance and an increased EPS surprise.
4. **Market Conditions**: The demand for electricity and the transition to nuclear energy, as mentioned in the abstract of the earnings call, could have created a favorable market environment for Amplitude's products and services. This favorable market conditions might have contributed to the revenue growth and improved EPS surprise.
In summary, Amplitude's EPS surprise increased each quarter in 2024 due to revenue growth, customer growth, strategic initiatives, and favorable market conditions. These factors combined to positively impact the company's financial performance and EPS surprise.