BlackLine (BL) reported a pretty good Q1 with revenue growing 29% and operating margins improving. However, as more companies continue to implement work-from-home protocols, there could be some delayed spending related to accounting software upgrades. Clients are focused on maintaining their operations and ensuring employees are able to work from home effectively. Accounting software upgrades may not be at the top of clients' minds, however, over the long term companies will need to upgrade their software.
Demand may be pushed out of the next few quarters and into the outer years. Management declined