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Tag: Coupa Software Inc (NASDAQ: COUP)

  • Coupa Software Inc. (COUP) stock Sinks Deep After Hours Following Latest Earnings

    On March 14, Coupa Software Inc. (COUP) declared its financial results for the quarter and year ended on January 31, 2022. Additionally, the company also announced achieving Moderate Authorization from FedRAMP. Following this, the stock plunged deep in the after-hours due to a weak outlook.

    During the regular trading session, the stock remained in the red with a loss of 9.60%. The stock reported its 52-week low of $89.25 during the session after which it closed at $89.82 per share. The volume remained above the average at 7.24 million shares. In the following after-hours session, COUP plunged deep to lose a huge 27.83% on poor outlook. Hence, the stock was trading at $64.82 per share in the after hours. Therefore, COUP marked its new 52-week low in the after-hours at a volume of 3.09 million shares.

    The business spends management (BSM) solutions provider, Coupa Software Inc. has a market capitalization of $7.42 billion. Currently, the company has 74.68 million shares outstanding in the market.

    COUP’s Q4 Fiscal 2022

    For Q4 fiscal 2022, the company reported total revenues of $193.3 million with a growth of 18% YOY.

    Moreover, COUP’s non-GAAP net income was $14.4 million, against $13.0 million in the year-ago period. Thus, the non-GAAP net income per diluted share was $0.19 and $0.17 in Q4 of fiscal 2022 and 2021, respectively.

    Source: Urenco

    Fiscal 2022 Results

    For fiscal 2022, COUP reported total revenues of $725.3 million with a YOY increase of 34%.

    Furthermore, the company had a non-GAAP net income of $63.2 million in fiscal 2022, against $55.7 million in the previous year. Resultantly, the non-GAAP net income per diluted share was $0.83 and $0.77 in fiscal 2022 and 2021, respectively.

    COUP’s Future Outlook

    For Q1 fiscal 2023, the company expects total revenues of $189.0-$191.0 million with a non-GAAP net income of $0.01-$0.06 per diluted share.

    In addition, for fiscal 2023, COUP expects total revenues of $836.0-$840.0 million with a non-GAAP net income of $0.15-$0.19 per diluted share.

    FedRAMP Authorization

    On Monday, the company also announced authorization from the Federal Risk Authorization Management Program (FedRAMP). As a result, Coupa is now available on FedRAMP Marketplace. This means every federal agency can now start using Coupa’s all-in-one cloud-based platform with added security and compliance.

    Conclusion

    On Monday, the company provided beat Q4 results along with the good news of FedRAMP authorization. But despite the beat earnings and revenue, COUP failed to impress investors with its outlook. Consequently, the weak outlook caused the stock to tumble deep in the after-hours session.

  • Coupa Software Incorporated (COUP) Stock Tumbling in Aftermarket, Here’s Why

    Coupa Software Incorporated (COUP) Stock Tumbling in Aftermarket, Here’s Why

    Coupa Software Inc. (COUP), a company that provides a cloud-based business spend management platform, has plunged 10.68% in aftermarket trading session. As a result, COUP stock is trading at $155.50 at the time of the writing. The sharp decline could be attributed to the announcement of quarterly results. On Monday, COUP stock closed the day at $174.1 after marginally increasing by 1.97% during regular trading hours.

    COUP Q3 2022 Operational Results

    On Monday, COUP released the operational results for the third quarter of the fiscal year 2022. The quarter ended on 31st October 2021. The company generated total revenue of $185.8 million for the three months against $132.9 million for the same period of fiscal 2021. The total operating expenses for the three months stood at $164.2 million against $115.8 million for the same period of fiscal 2021. The net loss suffered by the company during the quarter was $88 million (or $1.23 per basic and diluted share) against $60.7 million (or $0.88 per basic and diluted share) for the same quarter of fiscal 2021.

    Business Outlook

    Alongside the operational results, COUP also released the business outlook for the fourth quarter of fiscal 2022. The total revenues are expected to fall in the range of $185 million to $186 million. The non-GAAP income from operations is estimated to stand at $8 million to $10 million. The net income per diluted share (non-GAAP) for the quarter is expected to stand between $0.03 and $0.05 per share.

    Executive Commentary

    Rob Bernshteyn, chairman and chief executive officer at COUP, while commenting on the results said that the company delivered another strong quarter with record revenue and profitability. He said that the results reflect the strong adoption of the Coupa platform as the customers continue to give a priority to Business Spend Management as a fundamental aspect of their go-forward strategy. He hoped that during the upcoming quarter, the company would continue to leverage the Value-as-a-Service approach to increase its strategic customer base.

    Future Outlook for COUP

    The last three months have seen COUP decline by a mammoth 33% even though some good news related to stock emerged out during the period. With businesses around the globe under threat from new variants of COVID, especially Omicron, COUP stock could face a difficult time ahead.

  • How will Coupa Software Inc (COUP) perform this year?

    How will Coupa Software Inc (COUP) perform this year?

    Over the past 12 months, Coupa Software Inc (NASDAQ: COUP) has grown by more than 100%. What are the factors that are required to support the company’s growth in the next quarter?

    Coupa Software offers financial performance management software that helps companies manage their finances. Demand for software of this kind remains strong as more companies seek ways to cut costs. Coupa Software offers its clients programs that make the process of making payments and restocking a lot simpler.

    Sales of software-by-subscription (SaaS) are what have set Coupa Software Inc (COUP) apart from its competitors. Subscription fees create a constant source of income. Moreover, Coupa Software can grow rapidly as its customer base expands with the SaaS business, incurring a small cost to support each additional customer, thanks to its cost-effective and scalable model.

    During the past three years, Coupa Software’s customer base grew by about 37% per year. According to the company’s third-quarter report, over 1,000 customers had annual accounts valued at over $100,000, up 33 % year-on-year. Likewise, Coupa Software reports the cost of acquiring a new customer is six times the total revenue generated over time. This means that each new customer represents a 500% return on investment.

    Furthermore, Coupa Software Inc (COUP) creates a network effect that allows it to be competitive with technology giants. Increased customer participation attracts new vendors, which in turn increases Coupa Software’s customer base. Over the past three years, Coupa Software has seen a nearly 190 % increase in revenue. Despite not yet being profitable, the company can generate free cash flow.

    As a result, the business can grow without incurring further debt or issuing more shares. Therefore, the main factors driving Coupa Software Inc (COUP) long-term growth will be its successful business model, demand for its services, and network effect.