Amplitude 2025 Q1 Earnings Mixed Performance with Net Loss Widening

Amplitude (AMPL) reported its fiscal 2025 Q1 earnings on May 07th, 2025. Amplitude exceeded revenue expectations with a reported $80 million, surpassing analyst estimates of $79.75 million. However, the company experienced a wider GAAP net loss of $22.2 million, slightly above the estimated loss per share of $0.19. Looking ahead, Amplitude raises its full-year 2025 revenue guidance to a range of $329 million to $333 million, reflecting growth optimism. The outlook for the second quarter also suggests potential gains, with revenue expectations set between $80.3 million and $82.3 million.

Revenue

The total revenue of Amplitude increased by 10.1% to $79.95 million in 2025 Q1, up from $72.62 million in 2024 Q1.

Earnings/Net Income

Amplitude narrowed losses to $0.17 per share in 2025 Q1 from a loss of $0.18 per share in 2024 Q1, showing a 5.6% improvement. Meanwhile, the company's net loss widened to $-22.23 million in 2025 Q1, representing a 3.6% increase from the $-21.46 million loss recorded in 2024 Q1. While the EPS improvement is a positive signal, the net loss increase reflects ongoing challenges.

Post-Earnings Price Action Review

The strategy of buying AMPL shares after a revenue increase quarter-over-quarter and holding for 30 days has historically delivered strong returns, outperforming the benchmark by 29.41% over the past five years. Despite experiencing a maximum drawdown of -8.78%, the approach demonstrated resilience, with a Sharpe ratio of 1.10 indicating efficient risk-adjusted returns. The strategy's volatility stood at 11.55%, showcasing its stability amid market fluctuations. Investors continue to find value in this tactic, leveraging the company's consistent revenue growth to achieve notable financial gains. As Amplitude progresses with its platform strategy and product innovations, this investment strategy remains an attractive option for those seeking to capitalize on the company's upward trajectory.

CEO Commentary

Spenser Skates, Chief Executive Officer & Co-Founder, highlighted that Amplitude exceeded revenue expectations with $80 million, a 10% year-over-year growth, and is reaccelerating its business through enhanced enterprise focus. He emphasized the importance of the company's platform strategy, noting that "2025 is the year of the platform," with multi-product customers now representing 30% of the installed base. Skates mentioned improvements in churn, with a dollar-based net retention rate reaching 101%. He expressed optimism about product innovation, particularly the successful launch of Guides and Surveys, and stated, "We have successfully returned to double-digit revenue growth," indicating strong momentum moving forward.

Guidance

For the second quarter of 2025, Amplitude expects revenue between $80.3 million and $82.3 million, reflecting an 11% growth rate at the midpoint. Non-GAAP operating loss guidance is between negative $2.9 million and negative $0.9 million, with non-GAAP net income per share between negative $0.01 and positive $0.01. For the full year 2025, revenue expectations have been raised to between $329 million and $333 million, with a non-GAAP operating income forecast of $0 to $5 million.

Additional News

Amplitude recently announced a $50 million share repurchase program, signaling confidence in its financial health and future prospects. This initiative allows for the repurchase of up to $50 million of the company's outstanding Class A common stock through various methods, including open market purchases and privately negotiated transactions. The program does not have an expiration date and can be modified, suspended, or terminated at any time. Additionally, Amplitude launched new product capabilities such as Guides and Surveys to enhance user engagement and onboarding processes. These efforts, combined with its strategic focus on expanding its enterprise customer base, underscore Amplitude's commitment to driving growth and innovation in the digital analytics space.