- QAD Inc (QADA +6.1%) reports Q1 revenue growth of 20.7% Y/Y to $86.2M of which Subscription was $21.5M (+40.5% Y/Y); License $6.3M (+18.9% Y/Y); Maintenance and other $31.5M (-1.3% Y/Y) & Professional services $26.9M (+42.3% Y/Y).
- Q1 overall margins: Gross increased 120 bps to 52.3%; Adj. EBITDA increased 400 bps to 6% & Subscription gross margin increased 1200 bps to of 62%.
- The company received orders from 22 customers representing more than $0.5M each in combined license, subscription, maintenance and professional services billings, including eight orders exceeding $1M.
- Also, received license or cloud orders from companies across QAD’s six vertical markets.
- Cash & equivalents was $144.4M (-1.8% Q/Q) & CFO of $3.8M (-51.9% Y/Y).
- Q2 Outlook: Total revenue of $82-83M, including ~$21.8-22.3M of subscription revenue; GAAP pre-tax loss of $1.5-2M & Adj-GAAP pre-tax income of ~$1.3-2M.
- 2019 Outlook: Total revenue of $328-332M, including ~$90-92M of subscription revenue; GAAP pre-tax income of breakeven to $3M & Adj-GAAP pre-tax income of ~$11-15M.
- Previously: QAD misses by $0.03, beats on revenue (May 30)
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