DCT - Duck Creek Technologies rallies after earnings beat guidance impress investor

• Duck Creek Technologies ( NASDAQ: DCT ) stock rose sharply after the company posted easy beat in Q4 earnings and better-than-expected revenue guidance on Thursday.
• For the fourth quarter, the Massachusetts-based SaaS platform reported 14% growth in revenue to $80.7M, topping estimates by $7.62M. Alongside, reported earnings per share beat estimates by $0.01 to -$0.02.
• Segment break-up: Subscription revenue, $40.2M (+21% Y/Y); professional services, $25.4M (-6% Y/Y); license revenue, $7.8M (+65% Y/Y); and maintenance and support revenue, $7.2M (+23% Y/Y).
• SaaS Annual Recurring Revenue (ARR) increased to $169.3M, up 25% year-over-year.
• Adjusted EBITDA came in at $6.8M.
• Core profit rose to $4.5M, clocking over 73% growth from $2.6M reported in the year-ago quarter.
• The company said it had free cash flow of $15.7M at the quarter end vs. $6.9M in the comparable period.
• Issued Q1 2023 Guidance: Revenue is expected to range between $75.5-$77.5M, including subscription revenue of $40.5-$41.5M; Analysts expect $75.17M in revenue; Adjusted EBITDA is anticipated at $0-$1M and Non-GAAP EPS of -$0.01 to $0 vs. consensus of $0.02.
• FY 2023 Guidance: Revenue to be between $328-$336M vs. consensus of $320.90M; Subscription revenue for full year is forecasted to be $175-$179M; Adjusted EBITDA of $25-$27M; and Non-GAAP EPS is expected to range within $0.11-$0.13 vs. consensus of $0.12 .
• Duck Creek Technologies ( DCT ) shares are up 12% to trade at $12.05 at pixel time vs. 52-week range of $10.57-$46.75.

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