As the Q1 earnings season wraps, let’s dig into this quarter’s best and worst performers in the finance and hr software industry, including BILL (NYSE:BILL) and its peers.
Organizations are constantly looking to improve organizational efficiencies, whether it is financial planning, tax management or payroll. Finance and HR software benefit from the SaaS-ification of businesses, large and small, who much prefer the flexibility of cloud-based, web-browser delivered software paid for on a subscription basis than the hassle and expense of purchasing and managing on-premise enterprise software.
The 12 finance and HR software stocks we track reported a strong Q1. As a group, revenues beat analysts’ consensus estimates by 1.7% while next quarter’s revenue guidance was in line.
In light of this news, share prices of the companies have held steady as they are up 1.7% on average since the latest earnings results.
BILL (NYSE:BILL)
Transforming the messy back-office financial operations that plague small business owners, BILL (NYSE:BILL) provides a cloud-based platform that automates accounts payable, accounts receivable, and expense management for small and midsize businesses.
BILL reported revenues of $406.6 million, up 13.5% year on year. This print exceeded analysts’ expectations by 0.8%. Overall, it was a very strong quarter for the company with EPS guidance for next quarter exceeding analysts’ expectations and a solid beat of analysts’ EBITDA estimates.
The stock is down 1.2% since reporting and currently trades at $37.20.
Is now the time to buy BILL? Access our full analysis of the earnings results here, it’s free.
Best Q1: Flywire (NASDAQ:FLYW)
Initially created to solve the challenges of international student tuition payments, Flywire (NASDAQ:FLYW) provides specialized payment processing and software solutions that help educational institutions, healthcare systems, travel companies, and businesses manage complex payments.
Flywire reported revenues of $184 million, up 42.9% year on year, outperforming analysts’ expectations by 7.2%. The business had an exceptional quarter with a solid beat of analysts’ EBITDA and revenue estimates.
Flywire pulled off the biggest analyst estimate beat and fastest revenue growth among its peers. The market seems happy with the results as the stock is up 11.3% since reporting. It currently trades at $16.18.
Is now the time to buy Flywire? Access our full analysis of the earnings results here, it’s free.
Weakest Q1: American Express Global Business Travel (NYSE:GBTG)
Originally spun off from American Express in 2014 but maintaining the Amex GBT brand, Global Business Travel Group (NYSE:GBTG) provides end-to-end business travel and expense management solutions, connecting corporate clients with travel suppliers and offering specialized software services.