Bill.com (BILL) posts sizeable top and bottom beat, projects growth slowdown ahead
AInvestThursday, Feb 8, 2024 9:56 pm ET
1min read
BILL --

$BILL(BILL)

Bill.com, a leader in payments and billing software, delivered a robust earnings report for Q2 fiscal year 2024, highlighting its significant growth and solid financial health.

The company announced revenues of $318.5 million for the quarter, marking a 22.5% increase year-over-year, beating the anticipated $298.78 million. This growth is attributed to the rising demand for Bill.com's solutions, which streamline financial operations for small and medium-sized businesses.

Non-GAAP EPS for the quarter was reported at $0.63, surpassing the expected $0.40 by 57.2%. Although the gross margin (GAAP) saw a slight decline to 81.7% from 85.8% last year, the company's free cash flow surged by 55.9% to $74.21 million from the preceding quarter, showcasing its excellent cash generation ability.

For Q3 2024, Bill.com projects revenue to grow 11.5% year on year to $304 million, slowing down from the 63.3% year-on-year increase it recorded in the same quarter last year, aligning with analysts' forecasts. The company has also uplifted its full-year revenue guidance to between $1.23 billion and $1.24 billion, signaling a 1.1% increase and reflecting its optimistic outlook.

Operating in the expanding finance and accounting software market, Bill.com stands out for its comprehensive payment and billing solutions, especially appealing to small and medium-sized enterprises.

With a 22.5% year-over-year revenue increase in Q2 FY2024 and anticipated sales growth of 9.9% over the next year, Bill.com demonstrates its strong market position. The company's emphasis on innovation and customer satisfaction, combined with its robust financial standing, presents a compelling investment prospect in the finance and accounting software sector.

Bill.com's Q2 FY2024 earnings underscore the company's remarkable growth, sound financial performance, and positive future prospects. Positioned to leverage the increasing demand for payment and billing software solutions, Bill.com continues to offer substantial value to both its shareholders and customers.


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